Cardano Above Bear Market Floor – Can Price Withstand Rising Sell Pressure?
Cardano is consolidating near its bear market support floor amid weak momentum and high short interest, while long-term holders provide some stability.Summary
Cardano's price is currently in a tight consolidation phase, trading between $0.295 resistance and $0.256 support, which aligns with the 13.6% Fibonacci retracement, known as the bear market support floor, which ADA has held for nearly three weeks.
Bearish signals are evident as the Money Flow Index remains below 50, indicating sustained capital outflows, and derivatives data show short contract exposure significantly outweighs long positions, suggesting traders anticipate further downside.
However, long-term holders (LTHs) are providing relief by accumulating, evidenced by a rising Mean Coin Age, which reduces selling pressure. For ADA to rebound toward $0.295, it must successfully defend the $0.256 support; a decisive break below this level could lead to a drop toward $0.239.
(Source：BeInCrypto)