Cardano Token ADA continued to decline this week, fluctuating around $0.21 on Friday, with a drop of over 7% from the beginning of the week. However, on-chain data shows that some large-scale token holders continued to accumulate during the decline, indicating that there is still buying interest at lower levels, but market sentiment has not yet turned uniformly positive.
A giant whale increased its holdings by 160 million ADA in one week.
On-chain data indicates that wallet addresses holding between 10 million and 100 million ADA tokens have accumulated an additional 160 million tokens since Sunday. This suggests that some large holders still consider the current price range to be a suitable period for medium to long-term investment.
However, this round of increased holdings is not yet sufficient to reverse the short-term weakness. Although the price has received some support, the overall risk appetite of the market remains cautious, and the new buying pressure has not yet generated a stronger momentum for a rebound.
Derivatives long and short signals are still diverging
CoinGlass Data shows that on Friday, the long-short ratio was close to 0.90, near a low point seen in over a month. A long-short ratio below 1 generally indicates that there are more bearish positions than bullish positions in the market, reflecting that derivatives traders remain cautious about the outlook for the future.
However, the capitalization rate calculated based on position weight was officially implemented on Thursday, and it rose to 0.0013% on Friday. This usually indicates that bulls are beginning to be willing to pay the cost to maintain their positions, suggesting that the market is not purely bearish.
- Whale holder range: 10 million to 100 million coins ADA
- Increase in holdings since Sunday: approximately 160 million coins
- Friday funding rate: 0.0013%
ADA still holds the 50-day and 100-day moving averages
From the perspective of price structure, ADA is currently still above the 50-day and 100-day exponential moving averages, which correspond to levels of around $0.190 and $0.197 respectively. This indicates that its medium-term support has not yet been broken, and it still retains a certain foundation for stabilization in the short term.
However, the momentum indicator is cooling down. The Relative Strength Index has fallen back to the region above 50, and the MACD bar chart is also narrowing, indicating that the buying momentum brought about by the previous rebound is weakening.
If it subsequently falls below the support level of around $0.195, the price may further revisit $0.173; if selling pressure continues to increase, the next stronger support level is around $0.150. Overall, the significant increases in holdings by large investors have provided some support for the market, but with still cautious sentiment in derivatives markets, the short-term direction for ADA is not yet clear.
