- Cardano (ADA) has fallen below $0.28, extending a 15% correction amid whale selling and weak market conditions.
- Technical indicators suggest further downside, with bears eyeing the October 2023 low around $0.24.
Cardano remains under pressure as selling activity across the broader crypto market continues to weigh on prices. ADA has slipped below the $0.28 level, extending a sharp correction that began last week. Weak sentiment, combined with growing whale sell-offs and bearish technical signals, suggests that Cardano could face further downside in the near term.
At the time of writing, Cardano trades in the red after posting losses of more than 15% over the previous week. The decline comes as Bitcoin falls below the $75,000 mark, dragging major altcoins lower. With risk appetite subdued, traders appear cautious, while on-chain data points to rising distribution from large holders.
Whale Selling Adds Pressure on Cardano Price
On-chain metrics from Santiment highlight a notable shift among ADA whales. Wallets holding between 100,000 and 100 million ADA tokens have been reducing their exposure, adding to the ongoing sell-off. According to supply distribution data, these large holders have offloaded roughly 160 million ADA tokens since Thursday.
Such activity often signals declining confidence among major investors. When whales reduce their holdings during market weakness, selling pressure tends to intensify. This behavior has contributed to ADA’s inability to stabilize above key support levels, leaving the price vulnerable to further declines.
Technical Outlook Signals Risk of Deeper Decline
From a technical perspective, Cardano continues to show signs of weakness. After correcting more than 15% last week, ADA retested the October 10 low near $0.27 and has struggled to mount a meaningful recovery. If the current trend persists, the price could slide toward the October 21, 2023 low around $0.24, a level not seen in several months.
The Relative Strength Index on the daily chart sits near 27, reflecting oversold conditions and sustained bearish pressure. While oversold readings can sometimes precede short-term bounces, they also confirm the strength of the ongoing downtrend. In addition, the MACD indicator remains in a bearish crossover that formed in mid-January, reinforcing the negative outlook.
Key Levels to Watch Going Forward
If Cardano attempts a recovery, the first notable resistance stands near $0.32, an area that previously acted as daily resistance. A move above this level would be required to ease immediate downside risks. Until then, market participants may remain cautious, with bears firmly in control.
For now, Cardano’s price action reflects broader market stress, persistent whale distribution, and a fragile technical structure. Unless sentiment improves across the crypto market, ADA may continue to face pressure in the days ahead.
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