Recently, a massive sale of millions of ADA tokens by a Cardano whale has caused the price to plummet significantly, with losses exceeding 20% over just 48 hours. Currently, the price stands at $0.9352 and is approaching critical support levels. Traders are growing concerned about increasing selling pressure and potential further drops. In this article, we will delve deeper into the impact of this whale sell-off and Cardano’s future price predictions.
Whale verkoopt 70 miljoen ADA
On Thursday, January 9th, 2024, a well-known cryptocurrency expert posted on platform X (formerly Twitter) that significant crypto investors (whales) have allegedly disposed of approximately 70 million ADA tokens.
During the past 48 hours, post-X mentioned that a massive selloff occurred, suggesting that a market crash has begun. However, the effects of this large selloff are already visible in the ADA price, which has dropped by more than 20% since the start of sales.
Currently at the time of writing, ADA is being traded at $0.9352, marking a 14% drop over the past week. As traders’ uncertainty grows, there’s speculation as to whether Cardano can reverse its trend or if further losses are inevitable.
The whale-activity has caused a sharp drop in the price of ADA, which now approaches critical support. Strong selling pressure has reduced the market capitalization of ADA to $32.87 billion, a 6.08% decrease, reflecting the magnitude of the market reaction.
As an analyst, I’ve noticed a decrease in the Stock-to-Flow ratio from 291.37 to 288.50, which suggests decreasing investor confidence, while scarcity and demand indicators are lowering as well.
ADA Stock-to-Flow Ratio Bron: Santiment
The derivatives market shows signs of pessimism, and the drop in the Funding Rate on Binance indicates that traders are less optimistic about their leveraged trades.
On the DYDX exchange, funding rates also decreased, from 0.000334 to 0.000057, further emphasizing the decrease in market optimism. This development suggests that traders are adjusting their positions to account for increased volatility and downward risks.
The MVRV ratio, a measure of profitability for holders, has dropped from 0.92 to 0.769. This indicates that ADA holders are experiencing larger losses as the price continues to fall.
MVRV ratio. Bron: Santiment
This combined metric shows the effect of the whale sell-off, which has left traders and investors with little trust in ADA’s short-term performance.
This overall measure demonstrates the influence of the whale selling, causing a lack of confidence among traders and investors regarding ADA’s short-term results.
Despite the bearish outlook, ADA may find support at the critical level of $0.8335, potentially causing a technical rebound. However, for this to happen, buyers must counteract the selling pressure and regain confidence.
If this support doesn’t hold up, ADA could further decline, which might worsen the losses for investors. (Investor losses could potentially increase if ADA continues to drop.)
Cardano koers. Bron: TradingView
In summary, the recovery of Cardano heavily depends on halting whale sales and the return of buyers to the market. If ADA maintains its critical support, a rebound could be possible. However, given the current indicators suggesting bearish momentum, a swift recovery in the short term seems challenging.
Given the bearish outlook for Cardano, it’s wise to discover alternative cryptos that might perform better. These coins are available in a presale, where the price is fixed and less volatile compared to the corrections currently experienced by the cryptocurrency market.
Wall Street Pepe (WEPE) intends to support small traders who find it difficult to achieve success. By sharing valuable insights derived from its extensive Wall Street experience, WEPE aims to enrich its community. The excitement around these opportunities is evident as $45 million was raised in early investments, making WEPE the fastest-growing meme coin during a presale.
When you purchase your first WEPE tokens, you gain access to the ‘Wepe Army’. With this, you can gather knowledge on Trading Alpha, aiming to become a successful trader. Here, you benefit from exclusive market insights, strategies, and tips. By effectively applying this knowledge, you will achieve success. Therefore, WEPE aims to educate the next generation of successful traders within its community.
You’ll have the opportunity to buy your first WEPE tokens tomorrow at a price of $0.00036645 per piece. After this deadline, the price will rise. On the official website, you can link your wallet for transactions using crypto or a credit card.
Naar de officiële website van Wall Street Pepe
For those seeking an improved version of Solana, Solaxy (SOLX) offers a viable solution. Recently, the Solana network has encountered issues related to network congestion, leading to the cancellation of traders’ transactions. This is where Solaxy comes in: it has introduced its own Layer 2 blockchain for Solana, which aims to alleviate congestion and prevent cancelled transactions.
Solaxy-blockchain demonstrates greater scalability compared to that of Solana, making it the fastest blockchain globally. To further advance this progress, Solaxy collaborates with developers to introduce the first decentralized applications (dApps) on the network. A total of 30% of SOLX-tokens are assigned to these initiatives, enabling all users to explore the potential of the swift Solaxy blockchain.
As a potential early investor, you now have the opportunity to purchase SOLX tokens at $0.001596 per piece. The official Solaxy website enables you to link your wallet and make payments using cryptocurrency or a credit card.
Naar de officiële website van Solaxy
The widely recognized Best Wallet, boasting over a million members, is expanding its system. This expansion is achieved by introducing the Best Wallet Token (BEST), which offers additional benefits within the mobile app Best Wallet. As a result of this initiative, they have successfully raised more than $6.8 million.
With the introduction of Best Wallet Token, a significant milestone is achieved. This marks a substantial expansion of the system currently known as Best Wallet, which provides a secure platform for storing crypto. Additionally, there exists Best DEX, a decentralized exchange that facilitates cryptocurrency trading. The next phase of the project will see the launch of their Best Card, allowing users to easily spend their cryptocurrencies. This development creates an extensive ecosystem catering to a wide range of needs.
You will have the opportunity tomorrow to acquire your first BEST tokens at a rate of $0.02355 per piece. Following this period, the next phase of presale will begin, resulting in a further price increase. The Best Wallet Token website offers a simple process for linking or creating your wallet. Once set up, you can make payments using crypto or a credit card.
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2025-01-10 20:11