Cardano ADA: Whales Accumulate as Market Tests Resilience Amid Downturn
Despite a challenging market environment marked by an 18% monthly decline and a 34% drop from May highs, Cardano's ADA token is drawing attention from large investors. The altcoin's current stagnation at $0.565 coincides with broader sector weakness, including a 20% contraction in its DeFi ecosystem's total value locked (TVL) to $315 million. Network activity has also dwindled, with daily active users hitting 2020 lows of 20,000 and monthly transactions down 72% since December. However, whale accumulation suggests long-term confidence in ADA's fundamentals despite short-term headwinds.
Cardano Whales Accumulate Amid Market Downturn
Cardano's ADA token flatlined at $0.565 on Monday, cementing an 18% monthly decline that extends its 34% retreat from May highs. The altcoin's struggles mirror sector-wide weakness, with its DeFi ecosystem shedding 20% of total value locked to $315 million over the past month.
Network metrics paint a bleak picture. Daily active users collapsed to 20,000 - levels unseen since 2020 - while monthly transactions plummeted 72% from December's 2.8 million. Stablecoin adoption remains stagnant at $31.4 million, dwarfed by competing chains.
Yet whale wallets tell a different story. Holdings between 1-10 million ADA grew to 5.51 billion tokens this month, while mega-whales controlling 100 million+ coins added 230 million ADA since May. This accumulation suggests institutional players are positioning for a reversal.
Cardano Defies 'Dead Chain' Narrative with Organic Growth Surge
Cardano's ADA is staging a quiet renaissance as new data reveals substantial growth in authentic user engagement. While critics have dismissed the blockchain as outdated, LunarCrush analytics show social interactions skyrocketing from 200,000 in 2021 to over 2 million today.
The network's deliberate pace appears strategic rather than stagnant. 'Other chains boast inflated metrics through bots,' says Cardano advocate Jaromir Tesar. 'Our growth comes from real users, not artificial volume.' Social mentions have simultaneously surged to 10,000 daily, challenging perceptions of declining relevance.
Cardano (ADA) Price Eyes Breakout Above $0.70 Resistance
Cardano's ADA token shows tentative signs of recovery after six consecutive weeks of declines. The blockchain network's native cryptocurrency posted its first green weekly close, currently testing critical support at $0.48—a level that has held firm through 2023 and into 2024.
Technical indicators suggest waning selling pressure, with RSI beginning to curve upward from oversold territory. However, analysts remain cautious until ADA can decisively reclaim the $0.70 level, which WOULD signal a more substantial trend reversal.
Market sentiment remains fragile despite the recent uptick. ADA still trades 80% below its all-time highs, with developer activity and network adoption continuing to weigh on long-term prospects. The $0.49-$0.52 range now serves as the immediate battleground between bulls and bears.
Cardano’s Confidence Crisis: Will ADA Price Slip Below $0.52?
Cardano closed June 2025 with a 16% decline, defying positive ecosystem developments such as the cbETH cross-chain bridge launch and ADA’s integration into Coinbase’s Base L2. Investor sentiment waned as $182 million flowed out, leaving only 46% of holders in profit. Grayscale’s proposed U.S. cardano ETF could reverse the trend by attracting institutional interest.
On-chain metrics reveal a sharp drop in active addresses, from 24,000 to under 18,000 by June 21, signaling dwindling retail engagement. Despite network upgrades, user participation failed to rebound, exacerbating the price downturn. ADA traded at $0.5590, down 1.02% on the day.
