Cardano drops out of crypto Top 10: Should you sell or buy ADA?
Cardano (ADA) falls from the Top 10 & hits 3-year lows. Is it time to buy the dip or sell? Get a complete analysis of ADA's price action.
ADA in Free Fall: Bearish Structure and Loss of Top 10 Status
The collapse of Cardano (ADA) marks a brutal turning point. Ejected from the Top 10 market capitalizations, overtaken by Bitcoin Cash and new players like Hyperliquid, the token now trades around $0.27. Erasing several months of chart construction and reviving memories of the 2022 crash.
From a technical perspective, the situation is critical. ADA is evolving within a heavy bearish structure, after breaking several major support levels. The return to 2023 lows is accompanied by a spectacular drop in Open Interest (-79%). A clear signal of speculator flight and massive liquidations.
The market sentiment is extremely degraded. Even Charles Hoskinson is cited in discussions, with rumors of significant unrealized losses, fueling a climate of FUD. A break below the psychological threshold of $0.25 would open the door to another leg down toward still unexplored territories.
Discreet Accumulation and Potential Bottom Scenario
Despite this hemorrhage, on-chain data reveals an opposite reading from smart money. Grayscale has strengthened ADA exposure in its Smart Contract Fund, increasing from 18.50% to 19.55%, suggesting a strategic accumulation zone at current levels.
The whales, particularly those holding between 10 and 100 million ADA, have accumulated nearly $40 million during the drop. This price/accumulation divergence is historically associated with bottom zones, where major players take advantage of retail panic to position themselves long-term.
However, no guarantee of immediate rebound exists. ADA could enter a prolonged consolidation phase, testing the patience of remaining holders. The $0.26 – $0.27 levels will be decisive: either a break toward $0.20, or a technical bounce with volume, the first signal of a possible Cardano resurrection by 2026.
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Simon Dumoulin
Passionate about cryptocurrencies since 2019, I cover the latest news through clear and accessible articles. My goal is to make crypto understandable for everyone, with reliable and well-researched content.
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This article is for informational purposes only and should not be considered as investment advice. Some of the partners featured on this site may not be regulated in your country. It is your responsibility to verify the compliance of these services with local regulations before using them.
DISCLAIMER
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