News View Non-AMP

Cardano (ADA) Faces a Tough Test – Will It Break Down or Bounce Back?

Published by
Mustafa Mulla

Cardano (ADA) is facing a big test as market conditions grow tense. While the entire crypto market is slowing down and moving sideways, ADA is now struggling to hold its ground. The token is now trading just above a key support level of $0.66, and if it fails to hold, a sharper drop around $0.50 could be next.

So, what’s going on with ADA?

Bears Are Gaining Strength

According to the THEDEFILINK, a core DeFi Researcher, one of the biggest warning signs is coming from the Elder-Ray Index, a tool that tracks the battle between buyers and sellers. Right now, the buyers are backing off. 

Each day, the signal weakens, which suggests that sellers are slowly taking control. This kind of setup often shows up before a price reversal.

Another red flag is the Chaikin Money Flow (CMF), which tracks how money moves in and out of an asset. For ADA, the CMF is negative, sitting at -0.09, and it has stayed there all week. 

This tells us that more money is leaving ADA than coming in, showing that sellers are in charge for now.

$0.66 – A Critical Level to Watch

As of now, ADA is hanging around $0.71, just above the $0.66 support level. Meanwhile, analysts warn that ADA could revisit its yearly low of $0.50 if it falls below the support level. 

On the flip side, if bulls manage to defend this zone, there’s still a chance for a rebound up to $0.76. But time is running out.

Mustafa Mulla

Mustafa has been writing about Blockchain and crypto since many years. He has previous trading experience and has been working in the Fintech industry since 2017.

Recent Posts

Litecoin Price Prediction: Is Now a Great Opportunity to Buy LTC?

Litecoin price has moved in tandem with Bitcoin price in the past 30 days, amid…

May 3, 2025

Thumzup Media to Raise Up to $200M to Purchase More Bitcoins

Thumzup Media Corporate adopted Bitcoin as a treasury reserve asset akin to Strategy. The company…

May 3, 2025

Brown University Discloses $5M in BlackRock’s IBIT: Bitcoin Price Recovers

On-chain data shows long-term holders have continued to aggressively accumulate more Bitcoins in the recent…

May 3, 2025

Who’s Next to List Pi Network? Major Exchanges Under Rader

Tap To Earn Pi Network native coin Pi coin is finally making real progress in…

May 3, 2025

Bitcoin Cash Price Analysis: Key Targets to Consider Ahead of May Network Upgrade

Bitcoin cash price has been consolidating horizontally in the past twelve months but a breakout…

May 3, 2025

Bitcoin Flashes Signs of $100K Retest: Can BTC Price Meet Buying Demand?

After dropping due to Donald Trump’s tariff plans, which caused an intense market sell-off, Bitcoin…

May 2, 2025