Cardano Price Hit by Volatility as Large Investors Take the Dip

Cardano's (ADA) price has been under pressure this week due to broader crypto market volatility, trading below $0.25 as a failed recovery attempt on Monday failed to hold.

Futures open interest dropped around 8% in 24 hours, with long liquidations leading at $701,830, indicating short-seller dominance. This is further emphasized by the OI-weighted funding rate turning negative at -0.0132%, showing that traders are paying a premium to hold short positions.

On the other hand, whale wallets holding over 10 million ADA have reached a four-month high of 424, an increase of 5% in nine weeks. This accumulation during a price dip often signals that large investors expect a recovery over a longer time frame.