TLDR
- Cardano (ADA) failed to break above the $0.70 resistance level despite recovery attempts
- More than 200 million ADA (worth approximately $136.7 million) was sold by whale addresses in March
- ADA price is consolidating near $0.650 and showing technical weakness
- Key support levels are at $0.6420, $0.6350, and $0.620
- Potential rebound possible if ADA breaks above $0.70 resistance zone
Cardano’s native cryptocurrency ADA has been facing consistent downward pressure despite attempts to recover above key resistance levels. The digital asset has struggled to maintain upward momentum as whale investors appear to be exiting positions in significant numbers.
ADA price recently attempted a recovery wave that lifted it above the $0.680 zone. However, this upward movement was short-lived.
The cryptocurrency failed to overcome the critical $0.70 resistance level that has become a ceiling for price action in recent trading sessions.
The price subsequently declined, forming a low at $0.6356, and is now trading below both the $0.680 mark and the 100-hourly simple moving average. This technical positioning suggests continued weakness in the near term.
A previously supportive bullish trend line with support at $0.6720 on the hourly chart has been broken, further reinforcing the bearish sentiment.
Whale Activity Raises Concerns
Adding to the downward pressure, data from analytics platforms shows a substantial sell-off by large holders over the past month.
According to analyst Ali Martinez, whale addresses sold more than 200 million ADA, valued at approximately $136.7 million, throughout March alone.
Whales sold nearly 200 million #Cardano $ADA throughout March, as shown by data from @santimentfeed! pic.twitter.com/mYxm1LdSkI
— Ali (@ali_charts) April 1, 2025
This massive exodus of large investors coincides with Cardano’s more than 20% price decline in the first quarter of 2025, suggesting a correlation between whale selling activity and price performance.
The timing of this whale activity raises questions about whether bigger price drops could be ahead for the cryptocurrency.
Large investors often have access to information or analytical resources that may inform their trading decisions, making their movements worth monitoring.
Technical Outlook and Price Levels
From a technical perspective, Cardano’s price action has formed a pattern of higher highs followed by sharp corrections since November.
After reaching a peak of $1.165 on March 2, ADA has struggled to regain upward momentum. The $0.7799 level has emerged as a strong resistance point that has repeatedly rejected recovery attempts.
Immediate support for ADA is positioned near $0.6420, followed by the $0.6350 level. Should these support zones fail to hold, the next major support awaits at $0.620.
If the price breaks below $0.6350, it could potentially test the psychologically important $0.60 level, where buyers might step in more aggressively.
On the upside, ADA faces resistance near the $0.6720 zone and the 50% Fibonacci retracement level of the recent decline from $0.7090 to $0.6356.
Recovery Potential
Despite the current bearish trend, a recovery scenario remains possible if certain conditions are met.
Should ADA successfully break and close above the $0.70 resistance, it could trigger a stronger rally. In such a case, the price might target the $0.7420 region, with further gains potentially extending toward $0.7650.
A successful breakout above the $0.7799 resistance could open a path toward retesting the previous local high at $1.165.
Technical indicators present a mixed picture. The hourly MACD shows weakening momentum in the bearish zone, while the Relative Strength Index (RSI) remains below the neutral 50 level.
These indicators suggest that while the overall trend remains bearish, oversold conditions could eventually lead to a bounce if supported by broader market sentiment.
The outlook for Cardano continues to be influenced by broader cryptocurrency market dynamics, including external economic factors that affect risk assets generally.
For now, traders and investors are watching key support and resistance levels closely while monitoring whale activity for further clues about potential price direction.
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