Cardano

DeFi

when

April

Opus

<div class="finbold">
 <p class="paragraph">Cardano (ADA) now faces significant bearish <a rel="noopener noreferrer nofollow" title="signal" href="https://thebittimes.com/tag/signal.html">signal</a>s with a <a rel="noopener noreferrer nofollow" title="whale" href="https://thebittimes.com/tag/whale.html">whale</a> and DeFi <a rel="noopener noreferrer nofollow" title="activity" href="https://thebittimes.com/tag/activity.html">activity</a> drop, while testing price support. Investors see a neutral-to-bearish outlook in ADA’s short-term price forecast, bringing uncertainty for the week.</p>
 <p class="paragraph">Among some relevant indicators, the ecosystem expert, Ali Martinez, pointed out that Cardano is experiencing a “lull in whale activity.”</p>
 <p class="paragraph">The well-known on-chain analyst and ADA trader believes this <a rel="noopener noreferrer nofollow" title="signal" href="https://thebittimes.com/tag/signal.html">signal</a>s further consolidation or lower prices for Cardano’s native token. Martinez posted his insight on X (formerly Twitter) on April 5.</p>
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 <p class="paragraph">In particular, the trader used the daily Whale Transaction Count indicator, filtered for amounts above $1 million in ADA. Notably, this transaction count has dropped to 202 per day, below February results when prices were lower than currently.</p>
 <figure class="wp-block-image size-large"><img decoding="async" width="1024" height="457" src="https://cdn.thebittimes.com/images/2024/04/07/84476761cb26f23aa407bf4aa9205cc3.webp" alt class="wp-image-167003" srcset="https://cdn.thebittimes.com/images/2024/04/07/84476761cb26f23aa407bf4aa9205cc3.webp 1024w, https://cdn.thebittimes.com/images/2024/04/07/84476761cb26f23aa407bf4aa9205cc3.webp 300w, https://cdn.thebittimes.com/images/2024/04/07/84476761cb26f23aa407bf4aa9205cc3.webp 768w, https://cdn.thebittimes.com/images/2024/04/07/84476761cb26f23aa407bf4aa9205cc3.webp 1536w, https://cdn.thebittimes.com/images/2024/04/07/84476761cb26f23aa407bf4aa9205cc3.webp 2048w" sizes="(max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption">
   Cardano whale activity. Source: <em>@ali_charts</em>&nbsp;
  </figcaption>
 </figure>
 <h2 class="wp-block-heading" id="h-cardano-ada-bearish-price-analysis">Cardano (ADA) bearish price analysis</h2>
 <p class="paragraph">From a technical perspective, ADA is currently consolidating at an important price support at around $0.58 per token. Historically, this level showed resilience and acted as a key zone for both price recovery and trend shifts.</p>
 <p class="paragraph">Therefore, holding this current level in Martinez’s first projection of price consolidation could further ignite a surge for Cardano’s native token.</p>
 <figure class="wp-block-image size-large"><img decoding="async" width="1024" height="661" src="https://cdn.thebittimes.com/images/2024/04/07/f24a825215736fe43e8f7df5404fbbff.webp" alt class="wp-image-167004" srcset="https://cdn.thebittimes.com/images/2024/04/07/f24a825215736fe43e8f7df5404fbbff.webp 1024w, https://cdn.thebittimes.com/images/2024/04/07/f24a825215736fe43e8f7df5404fbbff.webp 300w, https://cdn.thebittimes.com/images/2024/04/07/f24a825215736fe43e8f7df5404fbbff.webp 768w, https://cdn.thebittimes.com/images/2024/04/07/f24a825215736fe43e8f7df5404fbbff.webp 1536w, https://cdn.thebittimes.com/images/2024/04/07/f24a825215736fe43e8f7df5404fbbff.webp 1876w" sizes="(max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption">
   ADA/USD daily price chart. Source: <em>TradingView</em>
  </figcaption>
 </figure>
 <p class="paragraph">On the other hand, facing an impending drop could fuel a downtrend continuation toward the $0.45 mark. ADA’s daily Relative Strength Index (RSI) also hints at a bearish momentum and lack of strength to recover.</p>
 <p class="paragraph">Moreover, the total value locked (TVL) in its ecosystem has suffered a major hit, down over 22% in the last 30 days to $378.24 million. With these losses, Cardano has dropped to the 17th position by TVL, according to the <em>DefiLlama</em> index.</p>
 <figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="169" src="https://cdn.thebittimes.com/images/2024/04/07/7a2d3985f6f110d144bb33edf88970a0.webp" alt class="wp-image-167005" srcset="https://cdn.thebittimes.com/images/2024/04/07/7a2d3985f6f110d144bb33edf88970a0.webp 1024w, https://cdn.thebittimes.com/images/2024/04/07/7a2d3985f6f110d144bb33edf88970a0.webp 300w, https://cdn.thebittimes.com/images/2024/04/07/7a2d3985f6f110d144bb33edf88970a0.webp 768w, https://cdn.thebittimes.com/images/2024/04/07/7a2d3985f6f110d144bb33edf88970a0.webp 1518w" sizes="(max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption">
   Cardano TVL rank. Source: <em>DefiLlama</em>
  </figcaption>
 </figure>
 <p class="paragraph">This is yet another bearish <a rel="noopener noreferrer nofollow" title="signal" href="https://thebittimes.com/tag/signal.html">signal</a> considering Cardano’s total value locked weighted by its market capitalization. On that note, ADA’s $20.81 billion market cap is 55 times higher than its ecosystem TVL. Thus, suggesting an overbought DeFi and Web3 asset in comparison to competing ecosystems and tokens.</p>
 <p class="paragraph">Overall, investors should closely watch these and other indicators that potentially signal a bearish momentum for ADA. Besides the lowering whale activity, Cardano’s DeFi ecosystem and tokens saw a massive capital outflow, while ADA struggles to keep its historical price support.</p>
 <p class="paragraph"><strong><em>Disclaimer:</em></strong><em>&nbsp;The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.</em></p>
</div>
<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/bearish-signal-for-ada-as-cardano-whale-activity-lulls-tbt84681.html">https://thebittimes.com/bearish-signal-for-ada-as-cardano-whale-activity-lulls-tbt84681.html</a></p>

Bearish signal for ADA as Cardano whale activity lulls

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