Cardano’s ADA token faces a critical technical test, declining 7.7% to $0.3251 with a key support level at $0.318 in focus. While on-chain data reveals significant whale accumulation worth approximately $161 million over two weeks, derivative traders are heavily shorting the asset, and retail wallets are selling.
Cardano’s ADA is approaching a decisive technical level after a steady price decline. The token dropped 7.70% in 24 hours to trade at $0.3251, even as its trading volume surged 72% to $831 million.
Technical analysis indicates the $0.3251 zone is a make-or-break level that has supported the asset since November 2023. Historical performance suggests a close below $0.315 could trigger a 25% drop toward $0.2329.
The Average Directional Index (ADX) at 27.05 signals a strong trend is in place. Conversely, the Money Flow Index (MFI) at 32.17 points to weakening buying pressure and near-oversold conditions.
On-chain data from CryptoQuant shows Spot Taker CVD has remained positive, indicating sustained market buy orders. This divergence between falling price and strong taker buying suggests underlying accumulation.
Santiment data reveals whales holding 100,000 to 100 million ADA accumulated 454.7 million tokens worth about $161 million in two weeks. Simultaneously, wallets holding at least 100 ADA sold over 22,000 tokens in three weeks.
Derivative traders are actively following the current downtrend according to CoinGlass liquidation maps. Leveraged positions show strong interest around the $0.319 support and $0.341 resistance levels.
Traders have built roughly $2.47 million in long positions and $10 million in short positions at these key levels. This activity highlights a trend-driven, short-term bearish sentiment among leveraged market participants.
