Cardano (ADA) achieved a peak of $0.81 a month back but has since been undergoing a gradual decline, resting at $0.585 at present—a decrease of 26.5%. As per recent insights, large players in the market, known as whales, have been shedding their ADA tokens amidst this downturn.

As of late, a noticeable reduction in ADA token holdings has been observed across various addresses. The count of wallets containing ADA between 1,000 and 1 million units has been declining. Moreover, the average age of ADA tokens measured over a 90-day period saw a significant drop in the latter part of March, showing signs of recovery in the final two weeks. This uptick indicated a potential comeback in token accumulation. The MVRV ratio indicated negative territory, pointing towards investors encountering unrealized losses and the token being undervalued.

One key metric used to evaluate a token's network worth is the network value to transactions (NVT) ratio. Analysis of the 7-day simple moving average of NVT revealed a surge to 166 on April 6th, nearing the peak semblance of 185 witnessed in May 2023. This surge suggested an overvaluation of ADA, contradicting the MVRV findings. Social dominance through a 7-day SMA exhibited a significant drop post-April 24th but showed a revival in the past week. Nevertheless, social activity has been on a gradual decline since mid-March.

Assessing ADA Price Movements
Sentiment in the past month has predominantly leaned towards negativity, mirroring the pessimistic tone prevalent among social media circles. Such sentiment aligns with the price slumps witnessed by ADA in recent weeks. An in-depth study of the 1-day chart revealed minimal bullish activity during this period. The lowest recorded at $0.568 by the end of February has not yet been revisited in a day’s trading.

On a weekly scale, ADA displayed a robust uptrend when surpassing the December low mark of $0.46, the lowest peak hit by the token in April 2023, further ascending. However, the Relative Strength Index (RSI) sat at 41, hinting at a strong bearish sentiment. According to Fibonacci retracement levels, the following significant support level that could attract prices is $0.525. Alternatively, the On-Balance Volume (OBV) has maintained a consistent upward trajectory since February’s commencement, signaling hope that even a drop to $0.525 might eventually reverse, possibly avoiding a bearish market phase.