Cardano price was stuck in a tight range on Monday, mirroring the performance of other cryptocurrencies.
Summary
- Cardano price continued its strong downward trend on Monday.
- Data shows that Cardano’s ecosystem growth has stalled.
- The team is now pegging its hope on the upcoming Midnight mainnet launch.
Cardano (ADA) was trading at $0.2815, stuck within a range it has been in for the past few days. It has dropped by nearly 80% from its highest point in November 2024.
Data compiled by DeFi Llama shows that Cardano’s ecosystem has continued to deteriorate over the past few weeks. Its decentralized finance ecosystem has continued to wane, with the total value locked falling by 26% in the last 30 days to $134 million.
Cardano has not added any new developers this year, even after securing a partnership with Pyth Network, one of the biggest oracles in the crypto industry. Pyth helps to bring off-chain data, such as price feeds, to the on-chain in an accurate way.
Adding more oracles to Cardano is one of the Pentad proposal’s top priorities, launched last year.
Cardano’s stablecoin ecosystem has also stalled. Its stablecoin supply stands at just $37 million, a tiny amount in an industry with over $300 billion in assets. The top stablecoins in the ecosystem are low-tier tokens like Moneta, Anzens, Djed, and iUSD.
Meanwhile, data compiled by CME show that the initial reception of the recently launched ADA futures has been weak, with the open interest being much lower than other tokens like Bitcoin and XRP.
Cardano is pegging its turnaround on Pentad and the upcoming Midnight mainnet launch, which will happen in the final week of March. Midnight will be a privacy-focused sidechain on Cardano, which is expected to attract more developers in the ecosystem.
Cardano price technical analysis
The daily timeframe chart shows that ADA price has been in a strong downward trend in the past few months, a move that has cost investors billions of dollars, with its market capitalization falling to over $10 billion.
Cardano has moved below the important support level at $0.3040, its lowest level in July and September 2024. It also remains below all moving averages, while the Percentage Price Oscillator remains below the zero line.
Therefore, the most likely Cardano price prediction is bearish, with the initial target being the year-to-date low of $0.2255. A drop below that level will indicate further downside toward the key support level at $0.200.
