Cardano (ADA) has hit its lowest level in a year, sitting in the critical $0.50 zone. This occurs amid a broad market downturn, with Bitcoin (BTC) losing the $100,000 support. The digital asset Cardano clings to $0.50 support as investors fear a deeper drop. However, data from Santiment shows contradictory behavior from whales.
Currently, ADA is trading near $0.5157, holding above the key support range located between $0.49 and $0.52. The asset has been in a downtrend for months, falling from the $0.70 zone. Despite the selling panic, large holders (whales) have reacted oppositely. They accumulated over 348 million ADA, valued at approximately $200 million, amid this recent price dip.
Why Isn’t Cardano’s Fundamental Strength Reflected in Its Price?
ADA’s price action contrasts sharply with its ecosystem’s growth. The Total Value Locked (TVL) on the Cardano network recently reached its highest point in three years. Furthermore, the organization launched the “Cardano Card” to expand the asset’s use cases. ADA’s inclusion in the 21Shares Top 10 Crypto ETF also suggests growing institutional recognition. This presents a classic crypto disconnect: fundamentals improve, but the price retreats.
Technical indicators, on the other hand, show uncertainty. The RSI (Relative Strength Index) sits at 39.23, approaching oversold levels but not yet confirming them. Likewise, the MACD indicator is flat, signaling a complete lack of momentum. If Cardano clings to $0.50 support and bounces, the upside targets are $0.5685 and $0.60. But if it breaks this key support, the price could fall toward the $0.48-$0.49 zone.
ADA is at a decisive moment. The token’s economy shows signs of maturity, but overall market sentiment remains bearish. The battle between positive fundamental data and negative price action will define ADA’s direction in the short term. Investors are watching to see if the whale accumulation will be enough to defend this critical level.
