Cardano News: Why Is ADA Price Dropping Today?

Table Of Contents

Will Cardano Recover? Market Insights & Future Predictions
Market Overview: Cardano’s Price and Volume Drop
Why is ADA Falling? Net Outflow Signals Accumulation
$1 Billion in Crypto Liquidations—How is ADA Affected?
Technical Analysis: Will Cardano Rebound?
Whales Are Accumulating: 420 Million ADA Bought
Cardano Price Prediction 2025: A Key Level to Watch
Should You Buy the Dip?

Will Cardano Recover? Market Insights & Future Predictions

Cardano ($ADA) experienced a sharp decline after recently surging to $1.1358 following former U.S. President Donald Trump’s announcement regarding a potential crypto reserve. Currently, ADA has dropped to $0.8207, marking a 22.69% decrease in the last 24 hours. Is this a temporary dip, or could further volatility be ahead? Let’s explore the key factors behind this price movement.

Market Overview: Cardano’s Price and Volume Drop

Cardano’s market cap now stands at $28.89 billion, down by 22.73%, while its 24-hour trading volume has fallen by 29.62% to $6.47 billion. This drop suggests that traders are cashing out after ADA’s recent rally, impacting its short-term price trajectory.

Why is ADA Falling? Net Outflow Signals Accumulation

Despite the price drop, data shows ADA is experiencing a net outflow of -$18.64 million, meaning more tokens are being withdrawn from exchanges than deposited. Historically, such movements indicate that investors are accumulating rather than selling, hinting at potential bullish momentum in the near future.

$1 Billion in Crypto Liquidations—How is ADA Affected?

In the past 24 hours, over $1.09 billion in crypto assets have been liquidated, impacting 314,083 traders. For Cardano, total liquidations stand at $383.87K, with long-term liquidations accounting for $242.72K and short-term liquidations at $141.15K. The largest single liquidation occurred on Bitfinex, where a tBTCF0:USTF0 trade worth $13.40 million was wiped out.

Technical Analysis: Will Cardano Rebound?

Currently, ADA is testing key support and resistance levels:

Resistance Level: $0.85
Support Level: $0.75

Technical indicators suggest bearish momentum may continue:

RSI (Relative Strength Index): Shows downward pressure.
MACD (Moving Average Convergence Divergence): Indicates a possible trend shift.
Bollinger Bands: Suggest increased volatility, hinting at potential price swings.

Whales Are Accumulating: 420 Million ADA Bought

Despite the sell-off, Cardano whales have purchased^J a massive 420 million ADA in the last 24 hours. This large-scale accumulation suggests that big investors see this price dip as a buying opportunity.

Cardano Price Prediction 2025: A Key Level to Watch

If ADA can close a weekly candle above $1.05, analysts predict a potential rally toward $1.90 in the coming weeks. However, breaking below support levels could trigger further declines.

Should You Buy the Dip?

Cardano has shown strong market resilience, but its recent drop raises concerns about short-term price movements. With heavy whale accumulation and market uncertainty, traders should watch key levels closely.

Will ADA surge past $1.05 and reach new highs, or will bearish momentum push it lower? The coming days will be crucial in determining Cardano’s next big move.