ADA is trading around $0,50, a key technical and psychological support that defines the token’s immediate path. Analysts warn that if this level fails, a pronounced correction could unfold, affecting retail traders, derivatives positioning and applications within the Cardano ecosystem. The market is watching whether price can defend the current range or confirm a breakdown with momentum.
Cardano remains compressed within $0,50–$0,52 amid sustained selling and bearish technical signals. Immediate levels to watch are $0,48–$0,49 as near support and $0,4158 as a deeper technical zone if weekly closes slip below the current threshold; at the extreme, some models contemplate revisiting the year’s lows around $0,27 if weakness accelerates. On the recovery side, relevant resistances appear at $0,5685, $0,60 and $0,63, while a rebound with volume could project intermediate targets at $0,70–$0,85.
A “death cross” formation reinforces the bearish bias, where the 50-day moving average falls below the 200-day moving average, a pattern associated with prolonged selling phases.
Why might ADA fall?
Momentum indicators reflect fatigue. The RSI measures relative price momentum and low values often indicate oversold conditions, while the MACD tracks the convergence and divergence of moving averages to detect trend changes and currently shows weak momentum.
Derivatives and on-chain signals tilt negative, though accumulation emerges on dips. Negative funding rates point to a predominance of short positions, and a decline in TVL suggests less capital committed to decentralized applications. At the same time, accumulation by large wallets (whales) and retail on pullbacks introduces tension between panic selling and opportunity buying, according to market reports.
Losing $0,50 could accelerate liquidations and attract further short pressure, expanding the correction toward $0,4158 and potentially lower levels if weakness persists. Technical breakdowns typically reduce liquidity and widen spreads, affecting intraday traders and DeFi platforms with low depth, which can amplify price swings.
The next operational milestone is a weekly close above or below the $0,50–$0,52 range. A sustained close below would confirm the bearish bias, while defending this area could enable recovery attempts toward $0,60.
