The bearish momentum has battered Cardano’s native token, ADA, as price trade 90% below previous all-time highs.
Despite the short-term price upticks in the global crypto market cap, Cardano price remained largely unchanged or bearish. ADA traded at $0.31, close to the Jan. 2021 levels from where it made a recovery in 2021.
With Cardano price showing negative ROI on the short-term as well as long-term charts, where will ADA price go?
/Related
MORE ARTICLESXCN, SOL, APT, AXS and Sand Are the Crypto Market’s Least Successful Cryptocurrencies
LBank’s 2022: A year of Challenge and Perseverance
Ethereum Merge Checkpoint Reached in 2022; What’s to Come in the New Year?
Bitfarms CEO Steps Down After Selling Shares; Bitcoin Mining Capitulation Spreads
Ripple and CEO Brad Garlinghouse’s Top 5 Crypto Wins of 2022
Investigator Shows How Poor Crypto Exchange KYC Can Empower Criminals
Old ADA Tokens on the Move
ADA was down over 90% from its all-time high price of $3.10 in Sept. 2021. As price tested the Jan. 2021 levels, a look at the coin’s Market Value to Realized Value (MVRV) suggested heavy losses for long-term holders.
The long-term and short-term MVRVs were negative, showing HODLers in losses. Seven-day, 30-day, and 365-day MVRVs were around -17, -8, and -51, respectively.
Cardano (ADA) MVRVs | Source: Santiment
With the aforementioned MVRVs in the negative territory, investors holding ADA for that amount of time were realizing losses. Notably, long-term holders that held Cardano’s native token for almost a year were in grave losses.
As holders realized losses, a lot of old coins were on the move. The Age Consumed indicator for Cardano showed that over 107 billion ADA were moved on Dec. 7.
Cardano (ADA) Age Consumed | Source: Santiment
The recent spike in Age Consumed could lead to higher market volatility, pushing prices in either direction. Before this surge, ADA saw another Age Consumed spike on Nov. 5, which led to a bearish pullback for ADA price.
Cardano Price Still Bleeding
The spot market price action for Cardano is still bearish. Daily trade volumes had flatlined, presenting no major push or interest from retailers. In addition to that, the weighted sentiment is still in the negative territory showing no-to-low demand for Cardano.
ADA Social Metrics | Source: Santiment
With a dull spot market, traders could look at the futures market, but that offered little respite. The futures and perpetual open interest stood at $169.3 million, showing no major uptick.
In addition, long liquidations of around $113,600 dominated the market while only $6,700 worth of ADA shorts were liquidated.
With ADA price still trading near the long-term support at $0.30, price action needs a strong push from bulls and holders to move upward.
In the short-term on-chain metrics for ADA present a slow price growth. If bulls are able to push the price above the $0.34 mark and then $0.36, the same would confirm some sort of reversal. However, if the ADA price falls below the $0.30 mark, the same could lead to major market sell-offs in the short term.