Cardano price continues to fluctuate widely as big investors sell off their assets. Over the past week, the ADA whales have unloaded 100 million tokens and thus impacting the market greatly.
Notably, the technical indicators suggest key support at $0.53, while a breakout above $0.7746 could trigger a rally toward $1.00.
Cardano Whales Exit, Reducing Holdings by 100M ADA
Cardano whales have sold 100 million ADA tokens in the past week, affecting the market sentiment.
According to on-chain data, addresses holding between 1 million and 10 million ADA now hold 5.89 billion tokens. This marks a notable reduction in their total holdings, signaling increased selling pressure.
Whale movements often influence price trends, especially when significant amounts of tokens are offloaded. If selling pressure persists, ADA price could struggle to maintain its current levels.
The impact of this shift will depend on whether retail investors can absorb the selling volume.
Fibonacci Levels Indicate Critical Support at $0.53
ADA price is currently consolidating within key Fibonacci retracement levels, signaling potential volatility. The 38.20% and 50% Fibonacci levels, at $0.6673 and $0.7746, define the current trading range. If ADA fails to hold support, a drop toward $0.53 could follow.
The $0.53 level corresponds to the 23.60% Fibonacci retracement and the long term trend line support. A break below this level may lead to a further sell-off to lower psychological level at $0.50. Therefore, traders focus on these levels to confirm the direction of the next move.
Cardano Price Technical Indicators Show Mixed Signals for ADA
Cardano’s daily chart reflects neutral technical indicators, leaving traders uncertain about the next move. Bollinger Bands are moving sideways, suggesting limited volatility in the short term.
The MACD and signal lines are near the zero mark, indicating a lack of strong momentum.
However, the negative positions of the average suggest potentially bearish outlooks. If Cardano price fails to reclaim key levels, bearish pressure may intensify. A breakout above $0.7746 may signal a reversal in the current price direction and lead to a higher target.
ADA price has to break the 50% of the Fibonacci level at $0.7746 for a bullish pattern. This move may pass a signal of buying activity that undermines the existing bear outlook.
If buyers return, the next level of interest would be $1.00 which is a psychological level.
A price above $1.00 would mean a reversal in the broader market and will attract new investors. Failure to break resistance could mean that consolidation takes more time.
Cardano Price Stuck in Consolidation
Additionally, Ali Martinez noted that ADA is in the consolidation phase and outlines the significant resistance levels.
In his analysis, Cardano price continues to be in a range within the critical Fibonacci level and subjection to both the bulls and bears. The outcome will depend on whether ADA price holds critical support.
If ADA sustains its price above $0.6673, the possibility of a bullish breakout still exists. Further whale selling may extend any upward movement of the price.
The bulls and bears are waiting for the decisive spike that would allow them to make the next trading move.
The post What’s Next For Cardano Price As Whales Sell Off Over 100M In a Week appeared first on The Coin Republic.
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