Cardano (ADA) whales are carrying out a massive selling pressure as the altcoin retests its multi-year support level.
During the past week, Cardano whales have offloaded more than 130 million tokens to hold about 13.55 billion ADA at press time, according to data from Santiment, an on-chain analytics platform.
The heightened selling pressure for ADA by whales comes at a time when this altcoin is retesting its multi-year support level around $0.24.
Cardano price prediction amid weak demand from whales
From a technical analysis standpoint, Cardano price must hold above $0.24 in the coming weeks to invalidate further capitulation towards $0.112, as per analysis shared by trading expert Ali Martinez.
However, if the Cardano whales begin to accumulate again in the near future, this altcoin could rebound towards $0.538.
The ADA utility riddle
The ADA price has been under intense bearish sentiment in the past months primarily because of its slow utility growth over the years. For instance, despite Cardano network having existed for nearly a decade, its total value locked (TVL) hovered around $140.64 million while its market cap was around $9.7 billion at press time.
As such, the ADA market cap has grown due to speculative buying while its utility remains relatively low. Further, the daily active addresses on the Cardano network have dropped aggressively from over 71,000 in late 2024 to around 16,232 at press time, as per data from DeFiLlama.
Nonetheless, the Cardano ecosystem, under the stewardship of Charles Hoskinson has been working to catalyze on-chain activity. For instance, the network’s stablecoin market cap spiked from $36.83 million in February to over $47 million at press time following the launch of USDCx, which is pegged to Circle’s USDC.