Home Altcoins News Whales Dump 330M ADA Tokens, Cardano Price Rebounds Strongly

Whales Dump 330M ADA Tokens, Cardano Price Rebounds Strongly

Cardano price

Recently, Cardano (ADA) experienced a notable sell-off by large holders, often referred to as whales, dumping 330 million ADA tokens on exchanges during a sharp market decline. Typically, such a massive sell-off could have triggered a significant decline in price. However, despite this overwhelming pressure, ADA has managed to maintain its value and even exhibit a strong price recovery.

On February 4, 2025, ADA was trading at approximately $0.77, marking a significant 62% price rebound from its recent lows. This positive reversal came despite the substantial dumping of ADA tokens by whales, which initially caused concerns about potential further declines. Surprisingly, ADA has held up well and continued to rise, defying typical market expectations.

At the time of the sell-off, whales moved 330 million ADA tokens worth over $235 million. These assets were transferred onto exchanges like Coinbase Prime, which led to immediate speculation about the potential reasons behind this significant movement. Many analysts initially expected the sell-off to result in a market crash for ADA. However, the price surprisingly held strong, with a notable rebound in the following days.

This resilience is particularly striking considering the heavy volume of ADA dumped on the market. Although ADA did experience some pressure, the asset quickly found support around the $0.71 level, which acted as a critical support zone. The 200 Exponential Moving Average (EMA) on the daily chart also indicated that ADA was in an uptrend, strengthening the bullish sentiment for the token.

Despite the decrease in trading volume by 55% in the past 24 hours, ADA’s price recovery remains encouraging. The low trading volume could suggest that fewer traders are actively engaging with the asset at the moment. However, the price increase signals that ADA may be poised for further gains, especially if it holds its current support levels.

Technical analysis further suggests that Cardano is in a favorable position. If ADA continues to stay above the $0.71 support level, it could see a potential price increase of 50%, with the next key target around $1.12. Resistance could emerge near the $0.83 level, but if ADA surpasses this, it may push toward higher levels.

Although the sell-off by whales did have an impact on the market, there is still strong bullish sentiment surrounding ADA. Many intraday traders are betting on the asset’s growth, particularly with long positions. The liquidation areas for ADA are currently around $0.738 and $0.703, where bulls are holding long positions worth $21.66 million. Conversely, short sellers are focused on the $0.781 level, indicating that there is an ongoing battle between the bulls and bears.

The on-chain metrics also suggest that there is continued support for ADA in the market. Whales may have taken profits, but bulls are still active, with many expecting the price to rise further. ADA’s ability to withstand large-scale sell-offs and still show resilience reflects its strong position in the market.

In conclusion, Cardano’s ability to maintain stability despite a massive whale sell-off demonstrates its resilience and potential for future growth. The token’s recovery and technical indicators suggest that it could continue to rise if it holds support at key levels. Investors and traders will likely keep a close eye on ADA’s performance in the coming weeks to determine if the token can maintain its upward momentum.

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Steven Anderson

Steven is an explorer by heart – both in the physical and the digital realm. A traveler, Steven continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Steven and through his business acumen has gained financial profits as well as fame in his business niche. Send a tip to: 0x200294f120Cd883DE8f565a5D0C9a1EE4FB1b4E9

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