Cardano prices have not escaped the sell-off in the wider market. Cardano's price has fallen by 7.6% over the past 24 hours, cutting most of its recent earnings. However, on a monthly basis, ADA still grew 28.6%, putting traders between optimism and fear.
Behind the scenes, a bigger battle is happening: Super whales are selling, retail holders remain bullish, short sellers pile up in the derivatives market. With all three units pulling the ADA in different directions, one factor can ultimately determine who stands out.
Super Whale Decor Holds With Decline in Network Activity
On-chain data shows that Cardano's largest wallet holds 1 billion ADA to Infinity, has reduced its holdings from 5.43% in late June to 5.02% now, indicating a clear bearishness among major players. Even if the percentage reduction is not much, even a half percent drop is a big drop in whale holding.
Super Whale Cuts ADA Holdings: Santiment
In addition to this pressure, the active address on the Cardano network is sliding on the monthly chart. Since reaching its peak on July 18, the address has dropped by more than 40% to 42,000.
Cardano Price and Active Address: santiment
This drop coincides with the ADA price drop, as the local top is $0.92, peak. The drop in the address may be one of the reasons for whales' indifference.
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Retail stays bullish, while short pressure builds
Despite the whale pruning the bet, retailers are confident that the exchange's Netfrows has remained negative for months, meaning withdrawn ADAs outweigh deposits. Usually, this is bullish; it indicates that the holder is accumulating, not selling.
Cardano Price and Increased Outflow: Coinglass
But derivatives traders are getting along with whales. Bitget's 30-day liquidation map shows short positions at $141.7 million while cravings are only $74 million, a clear bet suggests Ada's price has more room to fall. These traders are clearly turning bearish. This explains the tee fighting: whales, retail and exploitation of merchant features.
Cardano 30 Day Clearing Map: Coating
If whales continue, shorts can be controlled, lowered ADA and forced more liquidation. But, led by retail sentiment, a sudden brief squeeze could flip the script and allow optimism to win.
Key key keyboard price levels
The ADA hovers around key support levels at $0.71 and $0.68. The breakage may drag the price to $0.62, matching the bearish whales and short positions. Descending to $0.62 will clear any long positions left afterwards.
Cardano Price Analysis: TradingView
However, if the Bulls recouped $0.73 and $0.78, momentum could return to upside, invalidating the bearish assumption. This can then set the $0.84 and $0.93 push to retail. Also, this will clear short positions.
At present, the market is still in a stalemate, whales prune, retail holders persevere, while derivatives traders wait for segmentation to make a profit. A factor, short positioning triggers or increases pressure, may soon determine who wins Cardano's next big move in this battle.
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