Whale Cardano delays pushing the price of ADA to $1

Cardano (ADA) is still struggling against the resistance “wall” of 1 USD – a critical psychological milestone for this altcoin.

Although it was once expected to break through, investors' confidence is gradually fading as many ADA whales choose to offload. This move further increases selling pressure, pushing the price of Cardano into a difficult position in its journey to regain growth.

Cardano investors offload

The “whales” are becoming a major obstacle, leading the current downward trend of ADA. On-chain data shows that in just four days, wallets holding between 1 million and 10 million ADA have dumped over 560 million tokens – equivalent to nearly 500 million USD. This massive sell-off clearly reflects the pessimistic sentiment and impatience of the large investor group.

Instead of continuing to wait for Cardano's slow journey towards the psychological milestone of 1 USD, whales have chosen to take profits early to avoid the risk of a deeper price drop. This move indicates that they no longer have enough confidence in the short-term recovery outlook.

The amount of ADA that whales are holding | Source: SantimentOn a macro level, the picture is not very bright. The number of active wallets remains low, indicating a decline in community participation. With new capital flow being restricted and liquidity weakening, the price of ADA struggles to maintain a stable upward trend.

If on-chain activities are not improved soon, Cardano may continue to fall into a sluggish state, lacking the momentum to create a significant recovery.

Cardano's active address | Source: Santiment## ADA price needs to bounce back

At the time of writing, ADA is trading around 0.88 USD, slightly above the important support level of 0.850 USD. However, the current picture still holds risks if bearish sentiment continues to spread, as selling pressure from whales shows no signs of easing.

Daily ADA/USDT Chart | Source: TradingViewIn the event that ADA breaks through the 0.850 USD mark, the next support area will appear at 0.80 USD. Sliding down to this level will not only prolong the recent losing streak but could also trigger a wave of sell-offs from retail investors, further intensifying the downward pressure. At that point, ADA's recovery trajectory risks being significantly disrupted.

On the contrary, if ADA holds steady at 0.850 USD and rebounds, the market may witness a short-term recovery towards 1 USD. If this resistance level is converted into support, the overall sentiment will significantly improve, opening up opportunities for ADA to advance to 1.15 USD.

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