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Cardano whales have accumulated record ADA holdings despite the downtrend, signaling strong long-term confidence
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ADA’s current bearish crossover closely resembles the 2022 bottom setup, where oversold RSI levels previously triggered a massive rebound.
Cardano (ADA) price has remained under intense bearish pressure since facing a strong rejection near the $1 resistance zone. The continued weakness has dragged the token below a crucial support range that had remained intact since April, reflecting growing dominance from sellers. Despite the declining price action, Cardano whales continue to display strong confidence through sustained accumulation, hinting at rising long-term optimism around ADA.
This has sparked speculation over whether whale activity could eventually trigger a bullish reversal and push the token back into a broader recovery phase.
Cardano Whales Accumulate Aggressively Despite Market Weakness
Despite ADA’s prolonged price weakness, large Cardano holders continue to display growing confidence in the token’s long-term potential. According to recent Santiment data, wallets holding at least 1 million ADA now collectively control nearly 25.11 billion ADA, marking their highest accumulation level since December 2017. In addition, these whale wallets now account for nearly 67.5% of the total circulating supply, the highest concentration recorded since mid-2020.
The steady rise in whale holdings during a period of declining price action suggests that large investors may be viewing the current correction as an accumulation opportunity. Historically, such aggressive accumulation phases have often preceded periods of heightened volatility and strong directional moves in the ADA price. This places greater importance on the upcoming price action, as ADA now approaches crucial support zones that could determine whether the token stages a recovery rally or extends its downward trajectory further.
Cardano Death Cross Signals Potential Bullish Recovery Ahead
The weekly chart of Cardano suggests the token may be approaching a critical turning point as a bearish moving average crossover, commonly referred to as a “death cross,” begins to emerge. Historically, this pattern is considered a bearish signal because it reflects weakening long-term momentum. However, ADA displayed a surprisingly bullish reaction to a similar setup back in December 2022.
During that phase, the weekly RSI had dropped close to the oversold threshold, signaling extreme market exhaustion before Cardano eventually triggered a strong recovery rally. Interestingly, the RSI is once again hovering near similar lower levels, indicating that the selling pressure may be approaching saturation. This raises the possibility that ADA could be preparing for another bullish reversal despite the prevailing bearish market structure.
While the broader trend still remains under pressure, a rebound from the current support zone combined with rising whale accumulation could help Cardano regain bullish momentum in the coming weeks.
What’s Next for the ADA Price Rally?
Despite ADA remaining under bearish pressure, the aggressive accumulation by whales suggests strong long-term confidence in Cardano’s future price action. At the same time, the weekly chart is flashing a setup similar to the 2022 bottom formation, where oversold RSI levels eventually triggered a major recovery rally. If buyers defend the current support zone and momentum improves, ADA could attempt a strong rebound in the coming weeks. However, failure to hold these levels may extend the consolidation phase before a sustainable breakout emerges.
