Cardano (ADA) at a Crossroads: Will the Crucial Support Zone Hold or Fold?

Cardano's ADA teeters on the edge—again. The so-called 'Ethereum killer' faces its latest make-or-break moment as bulls and wolves circle the same critical price level.

Do or die support

ADA's chart flashes neon warnings as it retests a historically pivotal zone. Break below here, and the 'peer-reviewed blockchain' might need another academic paper to explain the bloodbath.

Market watchers split

Traders can't decide if this is the ultimate discount or the start of another 'building through the bear market' marathon. Meanwhile, Bitcoin maximalists smugly adjust their laser eyes.

Finance never changes

Whether ADA holds or crumbles, one thing's certain—some hedge fund manager will call it 'exactly according to plan' while quietly liquidating their bags.

TLDR

• Cardano (ADA) dropped to four-month lows of $0.51 over the weekend but recovered to close around $0.54
• Analysts warn ADA could fall to $0.32 if it fails to reclaim the key $0.66 support level that was lost ten days ago
• The cryptocurrency has recorded seven consecutive red daily candles after losing crucial support areas
• Some analysts see potential for a triple bottom formation that could trigger a rally back to $1.00
• ADA is currently trading at $0.54, down 15.6% for the week following a broader market pullback

Cardano has experienced a turbulent period over recent weeks. The cryptocurrency fell to multi-month lows during weekend trading.

ADA hit a four-month low of $0.51 on Sunday before staging a recovery. The price closed the week around the $0.54 mark.

The current price action represents a sharp reversal from earlier highs. Cardano reached a three-year peak of $1.32 in December 2024.

Following that peak, the cryptocurrency entered a downtrend phase. This trend continued until a late April breakout provided temporary relief.

May brought a bullish rally that lifted investor spirits. However, June’s market conditions proved challenging for ADA holders.

The cryptocurrency lost a crucial support level at $0.66 approximately ten days ago. This loss marked a turning point in the recent price action.

Since breaking below $0.66, cardano has struggled to find stability. The cryptocurrency recorded seven consecutive red daily candles.

The selling pressure pushed ADA below the $0.60 support level. This breakdown opened the door to further declines.

Technical Analysis Points to Critical Juncture

Analyst Sjuul from AltCryptoGems provided commentary on the current situation. The analyst suggested ADA’s recent rally could be over unless key levels are reclaimed.

Unfortunately, this ended up being a classic distribution schematic on $ADA.

As long as we don't reclaim $0.66, just expect further downtrend from now on!https://t.co/zCA88V0slQ pic.twitter.com/t602w7ChWv

— Sjuul | AltCryptoGems (@AltCryptoGems) June 23, 2025

According to the analysis, Cardano’s price action resembles a classic distribution pattern. This pattern typically signals the end of an uptrend.

The analyst emphasized the importance of the $0.66 level. “As long as we don’t reclaim $0.66, just expect further downtrend from now on,” the analyst stated.

Market watcher Man of Bitcoin highlighted June’s descending trendline. The analyst noted that remaining below this trendline would maintain downward pressure.

$ADA: As long as the price remains below the descending trendline, downward pressure persists. One more low in wave iv is still possible, but it should be a brief wick to the downside. A sustained break lower WOULD weaken the bullish outlook. pic.twitter.com/kGN5BdPku9

— Man of bitcoin (@Manofbitcoin) June 23, 2025

The possibility of additional lows remains on the table. “One more low in wave iv is still possible,” the analyst mentioned.

This could mean a drop below $0.50 before any meaningful recovery begins. However, the analyst expects any such MOVE to be brief.

Support Levels and Potential Targets

The $0.52 support level proved crucial during weekend trading. This level has historical importance for ADA’s price structure.

Market watcher ROSE Premium Signals identified a potential double-bottom formation. A weekly close around $0.56 would strengthen this technical pattern.

#ADA$ADA Cardano is testing key support around $0.56 on the weekly chart, with a possible double-bottom setup forming 🔍

A confirmed rebound could lead to targets at $0.9945, $1.2373, and $1.5268 — while failure to hold may drag the price toward $0.3299 ⚠️🎯 pic.twitter.com/eOOrDfMG2j

— Rose Premium Signals 🌹 (@VipRoseTr) June 22, 2025

A confirmed rebound from the $0.54-$0.56 area could trigger upward movement. The initial target in such a scenario would be $0.99.

Further upside potential exists if momentum builds. Resistance levels at $1.20 and $1.50 represent longer-term targets.

However, failure to hold current support levels carries risks. A breakdown could see ADA retreat to the $0.32 level.

Crypto Billion offered a different perspective on the price action. The analyst identified a potential triple bottom structure forming.

This pattern could lead to a bullish reversal if confirmed. The $0.50-$0.52 range has held twice since November’s breakout.

ADA’s price appears to be trading within a falling wedge pattern. This technical formation often precedes upward breakouts.

A move toward the upper boundary could target the $1.00 level. The pattern suggests bullish potential if properly executed.

Current market data shows Cardano trading at $0.54, representing a 15.6% weekly decline.