Cardano (ADA), the native cryptocurrency of the Cardano blockchain, is currently navigating a critical moment in its price action. While the cryptocurrency industry faces turmoil following a massive $1.4 billion hack targeting the ByBit exchange, ADA has shown remarkable stability. The token’s price has held above an essential support level, and traders are closely watching whether it can continue its upward momentum or if a decline is imminent.
The past 24 hours have been particularly eventful for the cryptocurrency market. The ByBit hack has had a significant impact, rattling investor confidence and causing widespread market uncertainty. While the broader market has taken a hit, ADA has managed to stay relatively steady, trading around $0.76 at the time of writing, down 4% from the previous day.
Despite this drop, ADA saw an impressive 50% increase in trading volume, signaling that investor participation has spiked. This surge in activity is indicative of heightened interest in Cardano, even amid a volatile market environment. With many traders looking for opportunities, ADA’s price action could be poised for a potential move, especially if it holds above its key support level.
Cardano’s price is currently hovering near a critical point, with ADA touching an ascending trendline that has historically acted as a reliable support level. The trendline has been in play since early February 2025 and has consistently triggered price reversals when ADA approaches it. Over the last 20 days, every time the asset has touched the trendline, it has seen upward momentum, making it a key area to monitor for any signs of a price rebound.
In addition to the trendline, ADA has also found horizontal support at the $0.745 level. If ADA manages to hold above this crucial support zone, there is a strong possibility that the cryptocurrency could see a 10% price increase, potentially reaching $0.85. However, if the price falls below the $0.74 mark and closes a four-hour candle beneath this level, a further decline to $0.65 could be on the horizon.
Looking at the technical indicators, the market presents mixed signals. ADA’s Average Directional Index (ADX) currently stands at 16, which indicates weak momentum and a lack of clear direction in the market. This suggests that ADA may not see a quick recovery or strong price action in the near future, and traders should remain cautious.
Moreover, ADA is still trading below its 200 Exponential Moving Average (EMA) on the four-hour chart, a bearish signal that could indicate further price weakness. While the token is finding some support at the trendline, the overall market sentiment remains uncertain, making it difficult to predict with certainty which direction ADA will take next.
On-chain data from analytics firm IntoTheBlock reveals that large transaction volume for ADA has dropped by 8%, suggesting a reduction in whale participation. This could be a result of market uncertainty, as major holders may be hesitant to make large moves amid volatile conditions. Additionally, data from Coinglass shows mixed sentiment among investors, with both inflows and outflows of ADA tokens observed across exchanges.
After the ByBit hack, ADA saw inflows of $7.35 million on exchanges, indicating some buying interest. However, just hours later, outflows of $6.50 million were recorded, suggesting that investors may be accumulating tokens or pulling their funds for safety. These conflicting signals from large investors highlight the uncertain mood in the market and underscore the importance of ADA holding its support levels.
As Cardano continues to hover around key support levels, its price movement will largely depend on how it reacts to these critical zones. Investors should keep a close eye on the $0.74 level, as a breakout above this point could trigger a 10% rally, potentially pushing ADA towards the $0.85 mark. On the other hand, a failure to hold above this level could lead to a decline to $0.65, marking a bearish turn for the asset.
With the overall market sentiment still uncertain, it is difficult to predict with complete accuracy how Cardano will perform in the coming days. However, the strong support levels and historical price action provide hope that ADA could recover and potentially see a price surge if the broader market stabilizes.
In conclusion, Cardano’s price action is currently at a crossroads. Despite recent market volatility and the ByBit hack, ADA’s price remains relatively stable, held up by crucial support levels. While the technical indicators suggest weak momentum, the historical trend of reversals at the ascending trendline and horizontal support offers a glimmer of hope for a potential 10% surge.
As always with cryptocurrency, market conditions can shift rapidly, and traders should remain cautious and keep an eye on key price levels. ADA’s next move will likely be determined by its ability to hold above the $0.74 level, so investors should be prepared for both upside potential and the possibility of further downside.
A finance graduate, Maheen Hernandez has been drawn to cryptocurrencies ever since Bitcoin first emerged in 2009. Nearly a decade later, Maheen is actively working to spread awareness about cryptocurrencies as well as their impact on the traditional currencies. Appreciate the work? Send a tip to: 0x75395Ea9a42d2742E8d0C798068DeF3590C5Faa5
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