Key Takeaways
ADA slipped 12% but held key support. With 80% longs and $6 million inflows, traders weighed reversal hopes against looming sell-off risks.
After falling 12% over the past 48 hours, Cardano [ADA] reached a key support level, which appeared to be a make-or-break point for the altcoin.
Naturally, given ADA’s past reactions at this zone, traders showed renewed interest.
Nearly 80% bet long. Smart or reckless?
At press time, ADA traded at $0.8565, down more than 9% over the past 24 hours. This notable price dip triggered increased participation from investors and traders, resulting in a 22% surge in trading volume.
In fact, many traders viewed this zone as a prime entry point.
According to CoinGlass, the Binance ADAUSDT Long/Short Ratio stood at 3.99. This ratio suggested that for every 3.99 long positions, there is a single short position, meaning traders betting long are nearly four times higher than those betting short.
Furthermore, data revealed that 79.96% of accounts were long, while 20.04% were short.
Source: CoinGlass
This skew begged the question: was the optimism justified, or could Cardano slip further?
Trendline lifeline! Can ADA hold firm?
AMBCrypto’s technical analysis revealed that traders’ bullish bias likely stemmed from the current support zone.
On the four-hour chart, ADA had been respecting an ascending trendline since early August 2025. With the latest decline, the altcoin once again touched this line, naturally fueling hopes of a reversal.
Source: TradingView
Based on the price action, if ADA held above the ascending trendline, there is a strong possibility of an impressive price reversal. If this happened, the altcoin could soar by 14% to reach the next resistance level at $0.9791.
Meanwhile, if momentum carried through the $1 barrier, a further 20% run toward $1.20 remained possible.
At press time, ADA’s Supertrend indicator turned red and hovered above the price. This suggests that the altcoin is in a downtrend with strong selling pressure.
Meanwhile, the Relative Strength Index (RSI) printed at 39.97, nearing oversold territory and hinting at possible reversal.
$6 million worth of ADA sell-off concern
Despite the bullish outlook, one metric that still flashes a red flag is the inflow of ADA into exchanges.
Over the past 24 hours, $5.95 million worth of ADA tokens has moved onto exchanges, hinting at ongoing dumping or profit-taking.
Source: CoinGlass
Naturally, such inflows risked adding selling pressure and extending downside momentum.
