Cardano (ADA) is struggling, and its largest holders are scaling back their activity. On-chain data reveals that ADA whales have been gradually reducing their holdings over the past week. If this trend continues, ADA could face further downside pressure.

Cardano Whales Reduce Exposure
According to IntoTheBlock, the netflow of large ADA holders has dropped 90% in the last seven days. These major investors, who control more than 0.1% of ADA’s circulating supply, are either selling off their holdings or pausing accumulation.

This decline in whale netflow weakens market confidence, reducing liquidity and increasing volatility. If large investors continue to step back, ADA could struggle to recover.

Adding to the bearish outlook, ADA’s futures market funding rate has turned negative (-0.005%), signaling a rise in short positions. A negative funding rate means traders are betting against ADA, reinforcing bearish sentiment.
ADA Price Prediction: Bearish Trend Strengthens
ADA’s price remains below the red line of the Super Trend indicator, a key signal of bearish momentum. When an asset trades below this indicator, selling pressure dominates.

- If ADA continues to decline, it could drop to $0.70.
- If traders regain confidence and start accumulating, ADA could rebound to $0.82.
For now, market sentiment remains negative, and ADA must regain momentum to reverse the trend.