Cardano (ADA) price is currently struggling to find a clear direction. The ADX indicator shows a weakening trend, pointing to reduced momentum. This suggests that ADA is in a phase of consolidation, lacking strong bullish or bearish forces.

Whales have been accumulating ADA, hinting at potential upward movement. However, whether the price will break upwards or downwards remains uncertain as support and resistance levels come into play.

ADA ADX Shows a Weak Trend

Cardano (ADA) currently has an Average Directional Index (ADX) of 15.51, down sharply from 41 just four days ago. This decline indicates a significant weakening in ADA’s trend strength.

The ADX is a widely used technical indicator that measures the strength of a trend without indicating its direction. ADX values range from 0 to 100, with readings above 25 typically indicating a strong trend, and values below 20 suggesting a weak or nonexistent trend.

Read more: Who Is Charles Hoskinson, the Founder of Cardano?

An ADX value of 41 previously suggested strong momentum, either upward or downward, signaling a decisive price movement. However, the current value of 15.51 suggests that this momentum has dwindled, pointing towards a lack of clear directional strength, with ADA now in a phase of low volatility and reduced conviction among market participants.

Cardano Whales Are Making Moves Again

In recent weeks, the number of ADA addresses holding between 1 million and 10 million ADA remained relatively stable throughout mid-September until October 7. Similarly, addresses holding between 10 million and 100 million ADA also showed a steady trend since the end of September, following a sharp decline between September 18 and 19.

However, from October 12 to October 15, the number of addresses holding between 1 million and 10

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Author: Tiago Amaral