Cardano’s native token, ADA, has fallen over 6% in the last 24 hours, falling from $0.642 to $0.605 as major holders reportedly sold $100 million worth of tokens.
The selloff broke through the $0.61 support level — long seen by traders as a key technical bottom — on volume that surged 42% above the weekly average.
According to the post on X, on-chain data shows wallets with between 100 million and 1 billion ADA tokens moved and unloaded over a three-day stretch. The timing of these sales, just as ADA neared the top of a months-long triangle formation near $0.70, suggests calculated profit-taking rather than panic. Still, the move triggered a technical breakdown that could push the token toward $0.55 if support near $0.60 fails, according to CoinDesk Research’s technical analysis model.
At the time of writing, the token has been trending below $0.60.
Cardano also underperformed the broader crypto market gauge CoinDesk 20, which is down about 5%. ADA’s market cap now sits at around $22.5 billion, although it remains the 10th largest cryptocurrency by valuation.
While heavy selling drove ADA’s collapse, momentum signals suggest the move could be losing steam. That tension has traders paying close attention.
The Relative Strength Index (RSI) is now near 40, a level that does not yet signal full capitulation but is often associated with near-term rejection potential. The RSI measures how fast and how far prices have moved, with lower readings indicating that the asset may be oversold. A reading near 40 suggests weakness, but also increases the chance of a rebound if sales slow, according to the model.
Meanwhile, the MACD – a tool that tracks shifts in momentum – is showing signs of a bullish crossover, with the short-term trend line moving above the long-term one. This kind of move could point to a potential reversal, but so far it lacks price confirmation. In short, the chart suggests a reversal, but ADA’s price has not followed through yet. Without buyers stepping in, the signal remains theoretical.
Disclaimer: Parts of this article were generated with the help of AI tools and reviewed by our editorial staff to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI policy.
