Cardano (ADA ($0.66)) is trading just above support, and analysts are watching for signs of a possible accumulation phase.

While the broader trend remains weak, some chart structures and technical levels are drawing renewed interest.

Support Level Near $0.54 Gains Attention

Cardano has been trading lower since it rejected resistance in the $0.75–$0.79 area. The latest reading shows the asset at $0.65, recovering slightly from recent lows but still within a downward trend. On the 12-hour chart, the price is hovering near short-term support.

Analyst Ali Martinez pointed to the $0.54 zone as a potential level of interest.

$0.54 could represent a major buy zone for Cardano $ADA! pic.twitter.com/NWcdmjA5Io

— Ali (@ali_charts) October 23, 2025

This level served as support earlier in the year and may attract renewed demand if tested again. A projected path on the chart shows potential for short-term consolidation around $0.54, followed by a rebound toward $0.60.

In addition, a separate chart from Bitcoinsensus shows ADA in a long-term compression channel on the weekly timeframe. The asset has followed this formation for several years, respecting both the lower and upper boundaries. After each test of the lower band, Cardano has staged significant upward moves.

In previous cases, ADA recorded gains of roughly 200% and 300% after touching the lower trendline. If that pattern repeats, the next move could target the upper resistance near $2.70. The post stated, “Next target comes in at $2.70 per ADA,” based on the channel’s upper boundary.

Source: Bitcoinsensus/X

EMA and MACD Still Bearish, But Weakness Slows

On the daily chart, ADA continues to trade under the 20, 50, 100, and 200-day exponential moving averages. These EMAs are stacked above the current price, between $0.69 and $0.77. Until ADA clears these levels, momentum remains on the downside.

Meanwhile, the MACD is showing early signs of flattening. The MACD line and signal line are moving closer, and the histogram is hovering near zero. This indicates that bearish momentum may be fading, though no bullish crossover has appeared yet.

Source: TradingView

Open Interest Declines With Price

Cardano’s futures open interest has fallen to $677 million, down from over $1.8 billion earlier this year. The drop points to lower speculative participation as price action cools. In past cycles, rising open interest has often aligned with stronger rallies, such as those seen in July and August.

Source: Coinglass

Large ADA wallets have also adjusted their positions. As reported by CryptoPotato, holders with 100 million to 1 billion ADA sold 350 million tokens in a recent seven-day span. This may explain some of the continued selling pressure and lighter positioning in the market.

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