Cardano Shows Signs of a Possible Turnaround
Cardano (ADA) has had a rough week, dropping nearly 10% since June 10. At one point, it slid from $0.73 down to around $0.60 before settling near $0.63. Not great, sure—but according to one TradingView analyst, things might be shifting.
The broader market’s been shaky, no question. But MyCryptoParadise, the analyst in question, points to a few technical signals that suggest ADA could be gearing up for a move. Maybe not a moonshot, but at least a decent bounce.
What the Charts Are Saying
On the 4-hour ADA/USDT chart, something called an “internal change of character” (I-CHoCH) popped up. That’s just a fancy way of saying the structure shifted—bearish momentum might be losing steam. Before that, there was a “sell-side liquidity sweep” near $0.62, which often shakes out weak positions before a reversal.
Then there’s the MACD indicator, which showed a bullish divergence. Even as ADA’s price hit lower lows, the MACD didn’t follow. That usually means selling pressure is fading.
Another thing worth noting: the $0.63–$0.64 zone, which used to be resistance, now seems to be acting as support. If it holds, that’s a good sign. If not, well…
How Traders Might Play It
The analyst’s take? Aggressive traders could jump in now, but it’s risky. The safer move would be waiting for a dip back to that $0.63–$0.64 range and seeing if it bounces. If it does, that’s a cleaner entry.
If ADA pushes higher, the first real test is just under $0.67. Break that, and $0.70 isn’t out of the question—about a 10% move from where it is now. But if it drops below $0.62 and stays there, the whole setup falls apart. Then it’s back to waiting.
Derivatives Hint at Bullish Sentiment—With Caveats
Trading volume spiked 45% to $1.26 billion, which usually means something’s brewing. The long/short ratio isn’t wildly bullish overall, but on Binance and OKX, longs are outweighing shorts by a decent margin.
Funding rates are positive, too, meaning traders are still betting on upside. Open interest dipped slightly, but not enough to scream panic. Long liquidations were higher than shorts, which suggests some stubborn optimism.
One odd detail: options volume cratered by over 90%. That might mean big players are sitting this one out, at least for now. So while the setup leans bullish, it’s not exactly a sure thing.
Still, if the charts hold up, ADA could be in for a better week. Or not. Crypto’s never simple.
