- Cardano’s price is facing bearish pressure as whales offload 330 million ADA, contributing to increased sell pressure and a market decline.
- However, some analysts predict a potential bullish reversal, with ADA possibly reclaiming the $1 mark if buying momentum strengthens.
The Cardano price currently faces a bearish outlook as large-scale investors, commonly known as whales, offload significant holdings.
Crypto analyst Ali Martinez recently highlighted via the x platform that ADA whales have dumped over 330 million coins, contributing to increased sell pressure in the market.
Cardano Faces Potential Decline as Whales Exit
Ali Martinez revealed in an X post to his more than 122K followers that ADA whales have sold off 330 million coins amid the ongoing market downturn and have yet to repurchase at lower prices. This signals a lack of confidence among large investors, potentially discouraging retail traders from entering the market.
On-chain data from IntoTheBlock further supports this bearish sentiment, showing that Cardano’s large transaction volume has dropped by over 8%, with $7.46 billion traded in the last 24 hours. Lower transaction volumes among major holders suggest a reduced appetite for accumulation, reinforcing the downtrend.
Over the weekend, ADA saw a drastic decline, mirroring the broader crypto arket’s turbulence. More than $2 billion worth of liquidations took place across the sector, with Cardano crashing by as much as 36%.
This led to the breakdown of key support levels, adding to the asset’s precarious position. Crypto analyst InvestingHaven has warned that bearish signals remain dominant, suggesting that further downside could be imminent if buying pressure does not return.
Could a Bullish Reversal Be on the Horizon?
Despite the short-term bearish trend, some analysts see potential for a reversal. Crypto analyst Sebastian took to X, predicting an “epic” few weeks ahead for Cardano. He noted that ADA had experienced a strong bounce and managed to close a daily candle in the green. Additionally, the Relative Strength Index (RSI) briefly dipped into oversold territory before recovering, indicating the possibility of a trend reversal.
Sebastian’s technical analysis suggests that ADA could reclaim the crucial $1 psychological level and even rally as high as $1.60 if bullish momentum builds. However, before such a recovery takes place, crypto analyst BullishBanter has predicted that Cardano may still revisit lows around $0.75 before a potential rebound toward the $0.95 to $1.10 range.
At the time of writing, Cardano is trading at approximately $0.75, reflecting a 10% increase in the last 24 hours. This short-term recovery could indicate renewed buying interest, but sustained momentum will be necessary for a full reversal.
If ADA whales continue to stay on the sidelines, further price declines could occur before any meaningful rally. The next few weeks will be crucial in determining whether Cardano can overcome its bearish phase or continue its downward trajectory.
