Cardano’s ADA Loses Ground, Drops 6% Despite Attempted Uptick

Cardano, the blockchain platform known for its ADA cryptocurrency, has been on a rollercoaster ride lately. It started October with a bang, surging 10% from its low point of $0.24, which had acted as a solid support level for a while.

This upward move brought a sense of hope and optimism among ADA holders, who were eagerly eyeing the $0.3 mark. However, Cardano’s recent price action tells a different story.

Despite its initial surge, Cardano has struggled to maintain its bullish momentum. The excitement surrounding the cryptocurrency quickly fizzled out as it retraced most of its gains.

As of the latest data, ADA is trading at $0.252, reflecting a 6% drop from its recent high of $0.27. The daily trading volume for Cardano has exceeded $150 million, indicating ongoing market activity.

The inability of Cardano to sustain its bullish run has left investors feeling uneasy. Sentiment across various markets, including exchanges, derivatives, and on-chain data, has shifted toward a more bearish outlook.

One clear indicator of this shift is the long-to-short ratio for ADA, which has flipped from positive to negative. This change suggests that some investors are engaging in panic selling, likely due to concerns about ADA’s short-term prospects.

Looking ahead, Cardano’s performance in the coming weeks will depend largely on the movements of Bitcoin and the broader altcoin market.

If Bitcoin regains its strength and embarks on another bull run, it could provide the catalyst for Cardano to break through bearish resistance and potentially reach the $0.28 level.

However, if Bitcoin faces headwinds or enters a correction phase, Cardano may struggle to find the necessary momentum and could even revisit its yearly lows.