Selling pressure continues to weigh on Cardano (ADA), pushing the token to its lowest level in months.
The latest decline follows another failed recovery attempt. Buyers attempted to gain higher ground, but the rise stalled near $0.1903, where the exponential moving average acted as resistance once again.
With this rejection, ADA extended the broader downtrend and fell below another key support level. Despite this, some of the market is starting to deviate from the normal trend.
Whales buy where others sell
Large shareholders have stepped back into the market.
Spot market data shows a noticeable increase in whale orders around current prices. The purchases came as ADA was trading near multi-month lows; This suggests that some large investors are using recent weakness to build positions.
This doesn’t necessarily mean a comeback is imminent. Whales often accumulate slowly, especially in times of uncertainty.
In some cases, whale activity slows down the selling pressure, but this does not always indicate the exact bottom. More importantly, given that the broader trend is still in favor of the bears.
However, this cannot be the case for Cardano.
Futures traders are turning the other way
The derivatives market is also showing signs of optimism.
Long positions now account for 75% of total market risk, indicating that most leveraged investors are betting on the recovery rather than the next decline.
Positioning stands contrary to recent price action.
Despite the increasing number of bullish bets, ADA has not yet regained its lost support levels. This leaves the market at an important juncture; Here the belief among traders needs to translate into buying pressure on the chart to confirm the bias.
Can accumulation change the trend?
The recent sell-off has clearly weakened Cardano’s technical structure. ADA remains below its key moving averages and the failed recovery at $0.1903 reinforced that resistance is still intact.
At the same time, whale accumulation and bullish positioning in the derivatives market suggest that not everyone expects the bearish trend to continue.
The next few sessions will be key in determining who will ultimately win the war. As can be seen from the recent accumulation, buyers are starting to defend current levels.
Final Summary
- Cardano remains under pressure after another failed recovery and EMA resistance is limiting its latest recovery attempt.
- Whale accumulation is increasing while 75% of derivatives positions remain long, contrasting sharply with the current downtrend.
