- Cardano (ADA) has broken below its key $0.60 support level, keeping the long-term trend firmly bearish.
- Short-term bounces may occur, but without reclaiming this level, further declines are likely.
Cardano (ADA) has seen significant turbulence this year as it struggles to maintain key support levels. Despite a brief bounce, the cryptocurrency remains trapped within a long-term bearish pattern, raising questions about its near-term prospects.
Cardano Faces Strong Bearish Pressure
ADA continues to trade within a descending parallel channel that has persisted for nearly a year. This channel, a corrective pattern, typically ends with an upward breakout, but Cardano has yet to deliver such a reversal. After repeatedly defending the $0.60 support level, ADA finally broke below it this week, signaling further bearish pressure.
Since December 2024, when ADA reached a cycle high of $1.33, the token has steadily declined. Attempts to rebound have been short-lived. In October 2025, ADA briefly tested the $0.27 level before bouncing back to the $0.60 zone. However, this recovery failed to hold, and ADA now trades below this critical support again.
Technical Indicators Support the Bearish Outlook
Analysis of momentum indicators adds weight to the downward trend. The Relative Strength Index (RSI) remains below 50, while the Moving Average Convergence/Divergence (MACD) has formed a bearish cross. Both indicators suggest that selling pressure is still dominant and that the token’s rebound may only result in a temporary lower high.
Daily charts show that ADA completed an A-B-C corrective bounce in April 2025, followed by an impulsive decline.
The price has broken below the $0.72 area, likely creating resistance during any short-term rallies. Without reclaiming the $0.60 support zone, Cardano’s path remains downward.
For ADA to reverse its bearish trajectory, it must first reclaim the $0.60 support area. Until that happens, the long-term trend is expected to remain negative. Traders and investors should watch these levels closely, as any further breakdown could open the door to new lows.
In conclusion, while Cardano has briefly halted its losses, the overall market picture remains bearish. Short-term rallies may occur, but unless key support levels are regained, ADA is likely to continue its downward slide.
ALSO READ:Ripple Triples Valuation to $40 Billion with $500 Million Strategic Raise
DISCLAIMER:
The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of the publisher. The publisher does not endorse or guarantee the accuracy of any information presented in this article. Readers are encouraged to conduct further research and consult additional sources before making any decisions based on the content provided.