Selling pressure continued to impact Cardano (ADA), pushing the token to its lowest level in months.
The latest decline came on the heels of another failed recovery attempt. Buyers tried to reclaim the high ground, but the rally stalled near $0.1903, where the EMA once again acted as resistance.
With this rejection, ADA extended its broader downtrend and fell below another major support level. However, part of the market is starting to deviate from the normal trend.
Whales buy where others sell
Large holders have returned to the market.
Spot market data shows a significant increase in whale orders around current prices. The buying comes as ADA trades near multi-month lows, suggesting some large investors are using recent weakness to build positions.
This does not necessarily mean that a reversal is imminent. Whales often accumulate gradually, especially during periods of uncertainty.
In some cases, whale activity slows the selling pressure, but it does not always indicate an exact bottom. What’s more, the broader trend remains in favor of the bears.
But this cannot be the case for Cardano.
Futures traders lean the other way
The derivatives market is also showing signs of optimism.
Long positions now represent 75% of total market exposure, suggesting that most leveraged traders are betting on a recovery rather than another pullback.
This situation stands in contrast to the recent price action.
Despite the increasing number of bullish bets, ADA has not yet been able to regain the lost support levels. This leaves the market at an important crossroads, where traders’ conviction still needs to translate into buying pressure on the chart for confirmation bias.
Can accumulation change the trend?
It is clear that the recent sell-off has weakened Cardano’s technical structure. ADA remains below its key moving averages, and the failed recovery at $0.1903 has reinforced that resistance remains intact.
Meanwhile, the accumulation of whales and bullish positions in the derivatives market indicates that not everyone expects the downtrend to continue.
The next few sessions will be key to determining who will ultimately win the battle. Buyers are starting to defend current levels as seen from the recent buildup.
Final summary
- Cardano remains under pressure after another failed rebound, with EMA resistance capped by the latest rebound attempt.
- Whales are accumulating while 75% of derivatives positions remain long, creating a sharp contrast to the prevailing bearish trend.
