Cardano largeholders sell 50 million tokens during market slump

Key takeaways

• Cardano (ADA) changed hands below $0.175 on Monday following a drop of over 9% across the previous week.
• Major Cardano whales holding between 10 million and 100 million ADA liquidated roughly 50 million tokens beginning November 4, pointing to declining trust.
• ADA faces the risk of a continued slide toward $0.156 as bearish technical signals persist, while immediate resistance is positioned at $0.183.

Cardano (ADA) stayed under downward pressure on Monday, changing hands near $0.1748 after notching five consecutive weeks in the red.

The digital asset fell by more than 9% last week, prolonging a downward trend that kicked off in early October as selling activity continuously surpassed buyer demand.

Cardano whales dump 50 million ADA tokens

Cardano’s largest investors kept trimming their positions, fueling worries regarding the asset’s short-term price trajectory.

Based on data from Santiment’s Supply Distribution, addresses containing between 10 million and 100 million ADA have dumped an aggregate of approximately 50 million tokens since November 4.

This reduction indicates that this cohort of major investors grew progressively hesitant amid Cardano’s extended price slump.

Alongside whale sell-offs, Cardano’s wider on-chain and trading metrics continue to showcase a cautious market mood.

CryptoQuant’s market overview points out notable whale orders across both spot and derivatives markets for ADA, accompanied by overheated conditions and a dominance of sellers.

This combination implies that prominent market players remain active, though selling pressure continues to outpace buying enthusiasm.

Cardano technical outlook: ADA bears target the $0.156 support

Cardano’s technical outlook remains gloomy as the cryptocurrency battles to bounce back from five straight weeks of losses.

At the time of writing on Monday, ADA traded near $0.1748, staying comfortably beneath its primary Exponential Moving Averages (EMAs).

The 50-day EMA sits at $0.209, while the 100-day EMA rests at $0.211. Meanwhile, the longer-term 200-day EMA is located significantly higher at $0.232.

The latest attempt at a recovery from below $0.180 has done little to alter the overarching technical setup, implying that the bounce might simply be a temporary consolidation phase rather than the start of a lasting bullish turnaround.

Momentum gauges also indicate persistent weakness. The daily Relative Strength Index (RSI) hovers around 30, creeping close to oversold conditions while signaling that downward momentum is still in control.

At the same time, the Moving Average Convergence Divergence (MACD) stays marginally negative, backing up the guarded outlook.

Should ADA fail to draw in stronger buying interest, sellers could force the price down toward the horizontal support mark at $0.156.

A definitive break below this zone would further damage the technical landscape and potentially open Cardano up to a deeper correction.

Nevertheless, Cardano might attempt a brief recovery if bulls manage to defend current price thresholds. The initial key resistance level is positioned at $0.183, which ADA needs to clear to spark an early momentum shift.

A sustained push past this mark could inspire buyers to aim for the 50-day EMA at $0.209, closely followed by the 100-day EMA at $0.211.

However, these moving averages form a dense resistance cluster capable of drawing fresh selling pressure.

Beyond this zone, the 200-day EMA near $0.232 serves as another major hurdle. Additional resistance points are found at $0.236 and $0.245, whereas a more robust recovery could eventually place the $0.296 area into perspective.