- Cardano failed to recover a crucial level in support.
- Whales were slow compared to the 2020 rally, but on-chain measurements indicated that there was network-wide accumulation.
Cardano [ADA] A move was made past the local resistance at $0.5. T
His region also left an imbalance on the daily timeline when the prices plummeted below that level on April 24th, and was unable to turn the psychological support into support.
During the writing of this article, similar things were happening. The price fell to $0.482 after it had bounced back above that level on the 20th May.
Are the metrics on-chain more optimistic?
Supply distribution has not yet reflected a whaling accumulation
Since 30 November 2023, the supply of wallets containing 1k to 100k ADA has decreased.
Wallets between 10M and 100M ADA experienced a steep decline in January 2023, but slowly climbed back up in 2024.
The growth in both cohorts has been reduced compared to that of the rally 2020-21. It is possible that history will not repeat itself and the vast increases in whale stocks may not happen.
Cardano was not a popular addition to the wallets of whales.
Also, the social metrics did not impress. Since more than two month, the social volume is trending down. Since March, the weighted sentiment is overwhelmingly negative.
Can bulls find hope in the current liquidation level?
A heatmap of liquidation with a lookback period of 1 month showed that $0.5 is an important zone for liquidity. It was swept, and ADA then saw a reject.
It was evident that the price had consolidated around $0.477. next Rallying to $0.525 is possible.
This consolidation will allow more short positions to be built up and increase the liquidity available overhead.
Short and long positions appeared to be more or less in balance at the moment. Recent pullbacks from $0.51 have wiped out late long-entrants.
Is your portfolio green? Have you checked out your portfolio? ADA Profit Calculator
Liquidation Levels Profile showed more short positions than long positions to be imminently vulnerable.
There were three large clusters of $0.479 (high lever), $0.475 ($medium lever) and $0.466 ($low leverage). next The target is to reduce the number of people who are impacted by your actions.
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Source: ambcrypto.com