Analysts name the factor that will cause Cardano’s token to fall by 26%

According to experts, the Cardano (ADA) price is forming a large bearish reversal pattern. It promises an even more serious correction than previously expected

Despite the bearish technical pattern, some signs give hope that Cardano (ADA) may receive support that could mitigate a potential drop. Whales are one of the most influential categories of investors for any cryptocurrency, as their activity has the greatest impact on price dynamics.

Although whales account for less than 20% of Cardano’s circulating supply, their dominance over daily transaction volume makes them very important. Over the past 24 hours, the total trading volume of the token amounted to $ 17.7 billion, of which about $ 17.4 billion came from whale transactions. However, this is much less than the same figure five days ago, when whales made transactions with ADA worth about $ 23 billion. This decline indicates a weakening of bullish sentiment among the whales, which could negatively affect the price.

The bearish reversal technical pattern «double top» is forming on the daily chart of ADA. Traditionally, this pattern indicates the fading of bullish momentum, which is often followed by a price decline. Currently, $ 0.619 is the breakout point of the pattern, and the target level of the bearish reversal is $ 0.455, which is almost 26% below the breakout point.

According to an analysis published on the X platform by a well-known crypto expert Ali Martinez, Cardano is preparing for another significant surge that could lead to an increase of more than 150%. According to Martinez, the ADA price chart pattern resembles the token’s behavior between 2018 and 2021.