 ▲ Cardano (ADA) / ChatGPT-generated image |
Cardano (ADA) is attempting a rebound as it seeks to break above the key technical resistance level of $0.268, but continued large-scale sell-offs by whales are threatening to halt its recovery.
According to crypto-focused media outlet The Crypto Basic on March 12 (local time), Cardano surged to an intraday high of $0.266, showing strong buying pressure. However, after facing upper resistance, it gave back most of its gains and continues to display unstable price action. This movement suggests that the rebound may be merely temporary and lacks the substantive strength needed to fully reverse the prevailing trend.
Technical analysis indicates that for Cardano to enter a genuine recovery phase, it must secure a daily close above $0.2688, the midline of the Bollinger Bands. The current price remains near the lower end of the volatility range, implying that buyers have yet to regain market equilibrium. Notably, a 4.9% decline over the past seven days and a steep 64.0% drop over the past year clearly highlight the severity of Cardano’s prolonged bearish pressure.
The biggest obstacle to a price rebound is the large-scale selling by whales. Prominent analyst Ali Martinez reported that major holders have offloaded or redistributed approximately 130 million ADA over the past week. The total supply held by whales fell sharply from 13.65 billion ADA to 13.55 billion ADA, and this decline in concentration among large wallets is exerting significant downward pressure, dampening any short-term price recovery.
The Bull Bear Power indicator, which measures the strength of buyers and sellers, also recorded -0.0068, reinforcing the view that underlying market sentiment remains negative. Experts generally agree that the current movement reflects sideways consolidation below resistance rather than a clear signal of a bullish reversal. Investors are closely monitoring on-chain data to identify when whale selling subsides and whether the critical $0.268 threshold can be decisively reclaimed.
Despite ongoing technological upgrades and ecosystem expansion efforts, Cardano faces the realistic challenge of capital outflows from major holders. Failure to reclaim $0.268 could make further price corrections inevitable, and heightened volatility is expected to persist until whale liquidation concludes. Market participants remain cautious, weighing whether this rebound attempt will prove to be a temporary trap facilitating whale exits or the foundation for a new upward channel.
Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses resulting from it. The information provided should be interpreted for informational purposes only.