Cardano’s native token ADA has fallen more than 6% in the last 24 hours, falling from $0.642 to $0.605, as large holders reportedly sold $100 million worth of tokens.
The sell-off surpassed the $0.61 support level, long considered by traders to be a key technical floor, with volume rising 42% above the weekly average.
According to the post on The timing of those sales, just as ADA was nearing the top of a months-old triangle formation near $0.70, suggests calculated profit-taking rather than panic. Still, the move triggered a technical failure that could push the token towards $0.55 if support near $0.60 fails, according to CoinDesk Research’s technical analysis model.
At the time of writing, the token has trended below $0.60.
Cardano also underperformed the broader crypto market indicator CoinDesk 20, which is down about 5%. ADA’s market capitalization is now around $22.5 billion, although it remains the 10th largest cryptocurrency by valuation.
While heavy selling fueled ADA’s collapse, momentum signs suggest the movement could be losing steam. That tension has traders watching closely.
The Relative Strength Index (RSI) now sits near 40, a level that does not yet indicate a complete capitulation but is often associated with near-term rebound potential. The RSI measures how quickly and to what extent prices have moved, and lower readings indicate that the asset may be oversold. A reading near 40 suggests weakness, but also raises the possibility of a rebound if sales slow, according to the model.
Meanwhile, the MACD, a tool that tracks changes in momentum, is showing signs of a bullish crossover, where the short-term trend line moves above the long-term one. This type of move may indicate a possible reversal, but so far lacks price confirmation. In simple terms, the chart hints at a turnaround, but ADA price is yet to be fulfilled. Without buyers intervening, the signal remains theoretical.
Disclaimer: Portions of this article were generated with the help of artificial intelligence tools and reviewed by our editorial team to ensure accuracy and compliance with our standards. For more information, see CoinDesk’s full AI Policy.
