- According to Santiment data, Cardano’s price has dropped 17% in the last seven days as dormant wallet activity rises.
- With ADA’s fee collection steadily declining since the start of the year, bears are now targeting a yearly low of $0.50.
Cardano’s trading volume over 24 hours has declined by 10.37% and stands at $1.37 billion. This aligns with reports from Token Terminal, a full-stack on-chain data provider, that show the token trading volume for 30 days declined by 43.8% to $27.2 billion. Further, fees generated in the last 30 days declined by 33.7% to $239.8K. All this decline in fee generation reflects less usage of the blockchain and activity, and this is pulling Cardano’s price down.
According to Santiment’s Age Consumed index, Cardano may be in a bearish trend. This index tracks the movement of tokens that have been dormant for an extended duration, and recent spikes show that the inactive tokens are currently moving. Notably, such occurrences are accompanied by price drops since the holders shift their holdings to the exchanges, stacking up the selling pressure and leading to short-term price fluctuations.
Market Indicators and Price Prediction
Cardano derivatives data analysis further indicates the overriding bear sentiment surrounding the asset. Coinglass data shows that open derivative contracts have decreased by 2.44% to now stand at $598.97 million. Options volume has also dropped by 92.94% to a paltry $6.59K, with options open interest decreasing slightly to $374.92K.
Despite such bearish indicators, relatively modest price appreciation is expected. Cardano’s price is estimated by CoinCodex to increase by 3.49%, to $0.70246, by the end of this month. Currently the Fear & Greed Index remains at 26, which indicates “Fear” in the market, and the 200-Day Simple Moving Average (SMA) at $0.7261. Additionally, the 14-day Relative Strength Index (RSI) is at 45.76, with ADA neither oversold nor overbought today.
In an interview with Scott Melker, Charles Hoskinson revealed his plans to showcase Bitcoin integration into Cardano’s decentralized finance (DeFi) ecosystem at the 2025 Las Vegas Bitcoin Conference. Leading the charge here is Cardano’s Aiken programming language, which will enable developers to create smart contracts that will be able to execute perfectly on both the Cardano and Bitcoin blockchains.
The integration also bridges Cardano’s Hydra Layer 2 scaling solution with Bitcoin’s Lightning Network to create a trustless and recursive bridge between the two networks.
The anticipated integration has created positive sentiment in the market, and analysts believe it will drive ADA’s price from $3 to $5 due to increased demand and liquidity as Bitcoin users connect to Cardano’s DeFi ecosystem.
On top of this, Ripple recently featured Cardano’s logo in one of its promotional videos, sparking debates about the possibility of collaboration between the two blockchain platforms. This has led to discussions on how a partnership could help both networks tap into the $18 trillion tokenization market.
