TL;DR
- Large investors parted with over $136 million worth of ADA last month.
- Despite that, the asset’s price remains slightly in the green on a 30-day scale, posting a modest 2% gain.
ADA Whales Sold Amid the Turbulence
Cardano’s ADA was among the cryptocurrencies witnessing the biggest volatility throughout March. The price exploded above $1.10 at the start of the month when US President Donald Trump confirmed the news about a crypto reserve in America and said ADA would be included.
A few days later, though, the political leader officially signed the executive order on the initiative, and Cardano’s native token was not featured as the directive was solely focused on bitcoin.
As a result, ADA plummeted below $0.70 and hovered around that level in the following weeks. Towards the end of March, it experienced a slight resurgence to as high as $0.77 before heading south again and eventually settling at its current $0.68 (per CoinGecko’s data).
The popular X user Ali Martinez revealed that amid the uncertainty last month, whales offloaded nearly 200 million ADA. Calculated at current rates, the stash equals over $136 million. Martinez outlined that large investors now hold approximately 5.8 billion tokens, representing around 16% of ADA’s circulating supply.
Sell-offs of that type increase the number of coins available on the open market, potentially setting the stage for a price decline (should demand remain the same or diminish). Those efforts may also cause panic across the space, and in turn, smaller players could emotionally follow suit and intensify the selling spree.
Price Reaction and Potential Catalysts
Despite the whales’ offloading last month, ADA remains in green territory on a 30-day scale, charting a minor 2% increase for the period.
Meanwhile, some analysts believe the price could skyrocket to new peaks at $2 soon. Not long ago, Martinez assumed that a daily close above $1.15 would confirm this “right-angled descending wedge” and push the value to the aforementioned target.
An essential factor that may positively impact Cardano’s native cryptocurrency is the potential approval of a spot ADA ETF in the United States. Grayscale displayed its intentions to introduce such an investment vehicle in February, while the US SEC acknowledged the application a few weeks later.
The product will allow investors to gain exposure to ADA in a more simplified way, removing crypto exchanges and self-custody from the equation. It could garner the attention of an additional number of people who, in turn, might distribute fresh capital into the ecosystem. According to Polymarket, the chances of an ADA ETF seeing the light of day before the end of 2025 are 57%.
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