Ali Martinez reported via X a significant sell-off by Cardano whales in the past 2 days, with over 70 million ADA tokens being offloaded during this period.
The price of ADA has been showing weakness since late December, following a declining trend into early January despite some temporary rebounds. The last 48 hours have been particularly noteworthy, with ADA declining approximately 4% to trade at $0.92. This recent drop coincides with substantial whale activity in the market.
The data shows that large holders, specifically those holding between 100 million to 1 billion ADA, have significantly reduced their positions. Their total holdings have dropped to approximately 3.26 billion ADA, creating noticeable selling pressure in the market. This whale activity appears to have directly influenced the recent price decline.
Will Cardano Price Crash?
The current price level of $0.92 could serve as a psychological support zone, though if the selling pressure continues, we might see the ADA price testing levels below $0.90. The $1.00 mark has recently acted as a resistance level, where the price has struggled to maintain momentum.
The massive whale sell-off raises questions about potential further price decline. While whale movements often influence market direction, it’s important to note that ADA’s price isn’t solely dependent on large holders. Market sentiment, overall crypto market conditions, and Cardano’s technological developments also play crucial roles in price determination.
The current situation suggests caution, as continued selling pressure from Cardano whales could lead to increased volatility. However, predicting a definitive crash based solely on whale activity would be speculative, as markets often demonstrate resilience and can find support from other market participants or positive fundamental developments.
Read also: Hedera (HBAR) Could Face Major Decline If This Support Fails
Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.
We recommend eToro
Active user community and social features like news feeds, chats for specific coins available for trading.
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
Source link
