Usman Salis
⬤ Cardano has stabilized around $0.60, finding solid footing at the lower boundary of a descending channel that's been in place for several months. The price has repeatedly bounced off this floor level, showing that sellers are losing steam at this critical zone. After weeks of steady decline, ADA is now consolidating rather than breaking down further, suggesting the downtrend might be running out of gas.
⬤ For the past few months, ADA has been trading inside a well-defined descending channel, making lower highs while staying within the pattern. The current price zone lines up perfectly with the lower trendline—a spot that's historically attracted buyers. Trading activity shows signs of accumulation as volatility has dropped and selling pressure has noticeably weakened.
This zone has acted as a strong floor for ADA, with price repeatedly holding above the channel's lower boundary.
⬤ The technical setup leaves room for a potential bounce if buyers step in from current levels. A sustained push from this support could send Cardano higher within the channel structure, though no breakout has happened yet. The fact that multiple support tests haven't led to a collapse keeps the door open for a recovery move. Right now, it's more about stabilization than reversal, but the price action is definitely improving.
⬤ This matters for the broader crypto market because prolonged downtrends often shift gears once strong support zones get established. Cardano holding above the lower edge of its channel suggests bearish momentum is fading. Whether ADA moves into recovery mode or continues sideways will depend on how it behaves around the $0.60 level—making this a key area to watch for market sentiment.
Usman Salis
