Cardano’s (ADA) recent price surge is running into fresh headwinds from fading trader interest and large-holder exits.
Futures open interest for ADA has dropped 9% over the past week, sliding from $1.99 billion to $1.81 billion as traders cut back on leveraged bets, says Ali Charts on X.
Whales also appear to be taking profits.
“Since September 20, large holders have offloaded roughly 90 million ADA, worth approximately $22.5 million, adding to the recent selling pressure.”
This decline in demand aligns with a Tom DeMark Sequential sell signal that appeared on Cardano’s daily chart.
“Since then, ADA has fallen 10%, and the correction may not be over yet.”
According to the analyst, a parallel channel on the daily chart points to $0.24 as the key mid-range support.
“If ADA loses that level, a move toward the channel’s lower boundary near $0.21 becomes likely.”
If $0.21 holds, it could present the next buying opportunity, targeting the channel top near $0.28.
Looking at Bitcoin, Ali says whales have cut their BTC holdings significantly over the last seven days.
“Most of the market has moved sideways over the past week. So what have whales been doing during the lull?
Bitcoin whale holdings have fallen by roughly 30,000 BTC, worth about $2.52 billion.
Large holders appear to be reducing their exposure.”
Follow us on X, Facebook and Telegram
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Generated Image: Midjourney