Cardano (ADA) Price Drops: Whale Activity & Technical Indicators

Cardano (ADA) Price Correction Intensifies

Cardano (ADA) is experiencing significant price pressure, falling 10% in the last seven days. This continues a downward trend that has kept ADA below $1 for almost a month. Growing concerns surround ADA's short-term stability, fueled by warning signs from technical indicators and large holder sell-offs.

Strong Downtrend Confirmed by ADX

Cardano's Average Directional Index (ADX) has surged to 40.19, a sharp increase from 15.83 just four days prior. This rapid rise indicates a strengthening bearish trend. An ADX above 25 suggests a strong trend; values above 40, as seen with ADA, confirm a powerful downward movement.

Source: TradingView

ADA Whale Numbers Plummet

The number of Cardano whales (wallets holding 1 million to 10 million ADA) has fallen to 2,406, its lowest level since February 2023. This drop from 2,421 just four days ago suggests reduced confidence among large holders, potentially exacerbating downward pressure.

Source: Santiment

Will $0.64 Support Hold?

The $0.64 support level has been retested. While it held initially, a sustained break below this level could signal a further decline towards $0.58. Conversely, a successful defense of $0.64 and subsequent break above $0.69 resistance could indicate a potential rebound, possibly towards $0.77 or even $1.02.

Source: TradingView

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Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Market conditions are subject to change. Conduct your own research before making any investment decisions.