- ADA trades near $0.208 after breaking below its rising channel, with $0.20 support under pressure.Analyst Ali Charts warns
- ADA could fall 20% toward $0.166 if $0.220 resistance holds.
- Cardano development continues, but declining DEX volume and stablecoin supply signal weakening network activity.
ADA is under pressure after breaking below a rising channel that supported recovery since June. The token traded near $0.208 on October 24, leaving bulls with little room for error. Analysts now warn that further losses could follow if sellers maintain control. Meanwhile, weakening network activity adds another concern for traders. With $0.20 approaching, ADA must attract fresh buying pressure to prevent a deeper decline.
Cardano Price Analysis: Can ADA Hold $0.20 Support?
ADA traded near $0.208 after falling approximately 1.4% on October 24. The token opened around $0.2106 before reaching an intraday high near $0.2122. Sellers then pushed the price down to approximately $0.2062. Analyst Ali Charts identified a confirmed breakdown below ADA’s rising parallel channel. The channel guided the recovery from June through October. During that period, ADA climbed from $0.138 to approximately $0.282.
The latest breakdown suggests that bullish momentum has weakened considerably. Ali Charts warned that ADA could fall roughly 20% toward $0.166. However, that bearish outlook depends on resistance holding near $0.220. The former support zone between $0.215 and $0.220 could now block recovery attempts. ADA needs to reclaim $0.22 to show signs of renewed strength. Momentum indicators currently favor sellers.
The daily RSI stands at 36.53, approaching oversold territory without dropping below 30. Meanwhile, the MACD line sits at -0.0068, below the signal line at -0.0035. Traders are watching $0.20 as the next crucial support level. A breakdown could expose lower targets near $0.18 and $0.16. A sustained recovery above $0.22 would weaken the bearish setup. Cardano’s network data also presents a mixed picture according to DefiLlama.
Cardano Development Progress Faces a Tough Market
Cardano lacks a standalone U.S. spot ETF. Grayscale withdrew registration for a proposed Cardano ETF in August. However, the filing never became effective, so the withdrawal did not represent an SEC rejection. Outside the United States, the 21Shares Cardano ETP recorded roughly $181,450 in weekly outflows. Monthly flows remained slightly positive at approximately $33,740.
Development work continues despite the market weakness. Cardano’s October 23 report confirmed that Praos2 had merged into the main development branch. Developers also continue working on Leios and Endorser Block improvements. Node 11.2 should introduce Dijkstra hard-fork features without Leios.
Developers plan to combine Dijkstra with linear Leios in a later 11.3 release. Meanwhile, programmable tokens under CIP-0113 have already launched on mainnet. For now, ADA must defend $0.20 to prevent further downside. A break below support could expose $0.18 and $0.16. Reclaiming $0.22 would offer the first meaningful sign of recovery.
