Why Cardano faces RISK at $0.70 as whales dump 30M ADA

Key Takeaways

Cardano whales sold 30 million ADA last week, adding pressure as EMAs turned bearish. With price slipping under key zones, the question lingers: how much deeper can ADA fall?

The last 24 hours saw the price of Cardano [ADA] rise slightly by about 2.50%. Also, trading volume spiked by 69% reaching $1.45 billion on the day.

The founder of Cardano, Charles Hoskinson, maintained that his goal was an ultimate win against Ethereum [ETH]. Despite the rhetoric, whales moved in the opposite direction.

Whales dump into rallies

The last seven days have been characterized by strategic selling by whales. Per Ali Martinez on X (formerly Twitter), about 30 million ADA were offloaded in this period after the price hit a local peak of $1.01.

AMBCrypto observed from the chart that the whales started selling at $0.92 as the price failed to cycle back to $1, an indication of bearishness kicking in. At the time, whale balance was at 5.57 billion ADA.

Source: Ali Martinez/X

This activity added downside pressure, but the price bounced slightly from an accumulation zone around $0.80.

ADA trades below key EMAs  

On the price charts, ADA was attempting to stay above $0.80 zone.

A hold above this zone can indicate that Cardano’s price was in a cooling phase since the 14th of August high. The volume at this peak almost matched the one seen on the 2nd of March – that is, when profit-taking escalated.

The long-term uptrend stays intact unless the higher low at $0.70 is breached. Yet the EMA cross indicator now signals bearish momentum, suggesting a slide toward $0.70 is in play.

If $0.70 fails, the bullish structure breaks — opening the way to $0.57–$0.51. That area marked the double bottom of the bear market.

Source: Crypto Metric/CoinMarketCap

Alternatively, Smart Money could resume accumulation at $0.57, sparking a reversal. Without fresh demand, ADA risks further downside.

Short squeeze or deeper slide?

More downward potential was heightened by the massive shorts sitting right above the recent price action compared to longs below it.

For context, about $17 million worth of ADA was clustered between $0.82 and $0.85 zones.

A short squeeze of these shorts could trigger a move back to $1. Conversely, they could fuel selling that drags price below $0.80.

Source: CoinGlass

By contrast, longs clustered around $0.78 were about half the size of shorts.

This zone may serve as a reversal point. If price sweeps those orders and fails to rebound, ADA could drop toward $0.76 next.