Cardano Price Drops Amid Weak Trader Confidence
Cardano (ADA) trades near $0.64 on Monday. It fell almost 7% last week. Data from derivatives markets show less trader confidence. Open Interest (OI) in ADA futures dropped to a yearly low. At the same time, short bets increased. Technical indicators suggest the price may fall below $0.60.
Derivatives Data Show Bearish Sentiment
Cardano’s futures Open Interest fell to $112.82 million on Monday. This is the lowest level this year and the lowest since November 2024, according to Coinglass. Lower OI means fewer investors are active, signaling a bearish outlook.
The ADA long-to-short ratio is 0.85, the lowest in a month. A ratio below one means more traders expect the price to drop.
Price Forecast: Bears Target Below $0.60
Cardano hit resistance at $0.73 on Tuesday and then dropped over 15% by Friday. It closed below $0.64 but gained slightly over the weekend. On Monday, ADA trades around $0.65.
If the price keeps falling, the next support is near $0.56. The Relative Strength Index (RSI) is 37, showing bearish momentum. The Moving Average Convergence Divergence (MACD) also shows a bearish signal since early October.
If ADA recovers, it could rise back to $0.73, the key resistance level.
