Cardano (ADA) Under Pressure: Whales Dump 440M Tokens as Critical Support Hangs in the Balance

Whales are making waves in Cardano markets—440 million ADA tokens just hit the sell button. Now the third-generation blockchain's native asset teeters at a make-or-break price level.

Blood in the water? The coordinated sell-off triggers flashbacks to last quarter's 'altcoin massacre,' though true believers insist this is just whales playing their usual games. Meanwhile, retail traders scramble to interpret whether this is panic or opportunity.

Technical outlook: ADA's chart shows textbook support retesting, the kind that either becomes a legendary buying dip or the prelude to another 20% nosedive. Analysts are divided—some see accumulation patterns, others spot the classic 'distribution before the drop' setup.

Silver lining? At least it's not another stablecoin collapse. Though with whale movements this size, someone's clearly trying to either manipulate the market or exit their position before the next 'Uptober' hopium cycle wears off.

TLDR

• Cardano (ADA) dropped 10% in the past week but held above its falling wedge support line, showing buyers are still defending the price structure
• The Chaikin Money Flow indicator shows large wallet holders are starting to buy again after weeks of declining interest
• Short positions on ADA are four times larger than long positions, with $93.15 million in shorts versus $24.46 million in longs, setting up a potential squeeze
• ADA broke below the key $0.50 support level, with the next major support zone identified around $0.25
• Whale wallets sold 440 million ADA tokens in one month, and one wallet dumped 14.5 million ADA for $850,000, adding to selling pressure

Cardano has declined approximately 10% over the past seven days. The price movement comes as the token tests important technical levels while large holders reduce their positions.

The price has stayed above the lower boundary of a falling wedge pattern. This technical formation often precedes short-term upward moves. The support line was tested on November 4 but held.

The Chaikin Money FLOW indicator tracks capital movement from large wallet holders. This metric had been trending downward toward its descending trend line in recent sessions. However, it remained above the line and has now started moving higher again.

This uptick suggests renewed buying from larger holders. These inflows typically appear before rebound attempts begin.

Short Position Setup Creates Squeeze Potential

The derivatives market shows heavy short positioning on ADA. On Gate’s ADA-USDT liquidation map, short exposure totals $93.15 million. Long exposure sits at only $24.46 million.

Shorts currently hold nearly four times the leverage that longs do. A price increase of roughly 2% WOULD trigger the first batch of short liquidations at $0.51.

When shorts are forced to close their positions, it creates buying pressure that can accelerate price movements. The current setup provides fuel for a potential bounce if momentum shifts upward.

Key Support Levels Break Down

ADA recently broke below the $0.50 support level. This breakdown marks a shift in the technical structure. The chart now shows consistent lower highs on shorter timeframes.

The next visible support zone sits between $0.42 and $0.38. If buyers fail to emerge at this range, the price could MOVE toward deeper historical levels.

Technical analysis from crypto Chiefs identifies $0.25 as the next major support level. This price point served as a multi-month base in previous cycles. The $0.50 level that previously acted as support may now function as resistance.

Whale Activity Shows Heavy Selling

On-chain data reveals substantial selling from large ADA holders. Approximately 440 million ADA exited whale wallets within a single month. This represents a major shift in positioning among institutional and large retail holders.

440 million Cardano $ADA have been sold by whales in just one month! pic.twitter.com/KHwk1XguZk

— Ali (@ali_charts) November 16, 2025

One wallet recently sold 14.5 million ADA for $850,000 USDA. These types of large exits typically occur during capitulation phases. The selling pressure adds weight to the current downtrend.

The declining whale holdings align with the broader price weakness. Large holders are reducing exposure rather than buying during the decline.

For a recovery to take hold, cardano would need to reclaim $0.60. This level represents the first sign of structural repair. Above this point, the token could attempt a move toward $0.68 to $0.72.

The immediate hurdle sits at $0.51, where short liquidations begin. Breaking above the wider resistance NEAR $0.64 would signal a full breakout attempt. The invalidation level sits below $0.49, where the wedge pattern would break.