Whales Dump 30M ADA as $0.70 Becomes Make-or-Break Moment for Bulls

Cardano (ADA) is currently trading at $0.81, a level that has become a focal point for both bullish and bearish market participants. Recent on-chain data reveals that large holders of ADA—wallets with balances ranging from 100 million to 1 billion coins—have sold approximately 30 million tokens over the past seven days, signaling a shift in sentiment among major stakeholders [1]. The selling has added downward pressure to ADA’s price, which has slipped below key exponential moving averages (EMAs), including the EMA55 and EMA89, and is now testing support levels near $0.70 [1].

The price of ADA has shown some short-term resilience, bouncing slightly from an accumulation zone around $0.80. However, technical indicators such as the EMA cross suggest bearish momentum is gaining strength, with the price potentially facing a test at the $0.70 level [1]. If this level is breached, it could trigger a deeper correction, potentially bringing ADA down to $0.57–$0.51—a range that marked a previous double bottom during the bear market [1]. Analysts are closely monitoring these levels, as a sustained break below $0.70 could invalidate the current bullish structure and open the door for further declines.

Whale activity has been a key factor in shaping ADA’s near-term trajectory. According to analyst Ali Martinez, the recent selling by large holders has coincided with ADA’s inability to retest previous resistance levels, such as $0.92–$0.95. At the time of the last major sell-off, whale balances were reported at 5.57 billion ADA [1]. The timing of these sales suggests that institutional or strategic participants may be taking profits or de-risking positions, which could influence broader market sentiment and liquidity conditions.

While ADA’s price remains in a consolidation phase, on-chain metrics paint a mixed picture. Total Value Locked (TVL) in Cardano’s DeFi ecosystem has fallen to under $400 million, down from a peak of $721 million earlier in the year [3]. Daily active addresses have also declined sharply, raising concerns about the token’s utility and ecosystem growth. Additionally, the derivatives market shows signs of volatility, with open interest peaking at $1.87 billion before cooling to $1.54 billion as the price retreated from $0.96 to $0.80 [3]. This volatility reflects the tug-of-war between bullish and bearish forces, with neither side currently gaining a decisive advantage.

Despite the bearish pressure from whale outflows and weak on-chain fundamentals, ADA has shown relative strength compared to other altcoins. Year-to-date, it has declined by only about 3%, outperforming peers like Avalanche (-32%) and Dogecoin (-30%) [2]. The token has also maintained a steady position above key moving averages, including the MA200, for the past seven weeks [4]. If ADA can hold above $0.75–$0.78 and continue trading within its long-term ascending channel, analysts suggest it could target $0.95–$1.00 in the near term, with longer-term potential reaching as high as $2.90 under favorable conditions [4].

For now, the market is watching how ADA responds to the $0.80 support level and whether whale activity stabilizes or continues. A short squeeze in the $0.82–$0.85 zone could push the price back toward $1.00, while a failure to hold above $0.70 could lead to a deeper correction [1]. Given the current market dynamics, ADA’s path forward will depend heavily on on-chain activity, whale sentiment, and broader altcoin market performance.

Source:

[1] Why Cardano faces RISK at $0.70 as whales dump 30M ADA (https://ambcrypto.com/why-cardano-faces-risk-at-0-70-as-whales-dump-30m-ada/)

[2] Cardano at Risk? Large Holders Exit While Support Levels ... (https://coinedition.com/cardano-whales-sell-30m-ada-warning-sign-market-top/)

[3] Cardano's Price Holds Strong, But On-Chain Data Tells a ... (https://cryptorank.io/news/feed/99761-cardanos-price-holds-strong-but-on-chain-data-tells-a-different-story)

[4] Cardano Price Prediction: Whale Selling Tests Bulls as ... (https://bravenewcoin.com/insights/cardano-price-prediction-whale-selling-tests-bulls-as-ada-consolidates-for-a-recovery-towards-1-00)