Cardano Price Prediction: ADA Tests $0.38 Support as Analysts Flag Risk Towards $0.29

Cardano price is trading near a technically sensitive zone as price action consolidates around the $0.38 level, a threshold analysts consider critical for near-term stability. While ADA has avoided an aggressive breakdown so far, multiple technical signals suggest downside risk remains if buyers fail to defend current levels.

Despite modest intraday strength, the broader structure continues to reflect weakness, keeping participants cautious as Cardano searches for directional clarity.

Cardano Price Approaches a Key Technical Decision Zone

As of December 17, 2025, Cardano price was trading around $0.38, posting minor gains on the day but remaining under pressure on higher timeframes. Price action has slipped below previous consolidation ranges, leaving Cardano price vulnerable to further downside if demand fails to step in.

Cardano trades near $0.38 as price tests a key short-term demand area. Source: Brave New Coin

From a technical perspective, the $0.38–$0.36 region stands out as the nearest support band where buyers have historically attempted to slow declines. A clean hold above this zone could allow for short-term stabilization, while a decisive breakdown would weaken the structure further.

Bearish SuperTrend Signal Raises Caution

Technical analyst Ali Martinez recently highlighted a bearish development on Cardano’s higher timeframe chart, noting that the SuperTrend indicator has flipped bearish. Historically, similar signal shifts on ADA have coincided with extended corrective phases rather than brief pullbacks.

Previous SuperTrend reversals on ADA coincided with major corrective phases. Source: Ali Martinez via X

Ali pointed out that the last comparable SuperTrend reversal preceded a sharp decline, reinforcing the importance of current support levels. While historical comparisons do not guarantee identical outcomes, the signal adds weight to the broader bearish bias unless structure improves.

ADA Channel Breakdown Puts $0.29 on the Radar

Adding to downside concerns, Cardano price has recently broken down from a long-standing price channel on the daily timeframe. In another chart from Ali Martinez, the analyst points out that this structural failure places the $0.29 level into focus as the next major area of interest.

A confirmed channel breakdown places $0.29 as a key downside reference. Source: Ali Martinez via X

This level aligns with prior accumulation zones and historically strong demand, suggesting it could act as a reaction point if selling pressure accelerates. However, a move towards $0.29 would represent a continuation of the current downtrend rather than a confirmed bottom.

On-Chain Activity Shows Signs of Resilience

While price structure remains fragile, Cardano’s on-chain metrics paint a more mixed picture. Recent data indicates that Cardano DEX volumes have increased 2–3x on average following recent ecosystem developments tied to the NIGHT protocol.

Cardano DEX activity shows elevated volumes despite price consolidation. Source: melon via X

Rising decentralized exchange activity suggests growing network usage, even as price struggles to regain momentum. Melon notes that increased on-chain activity does not always translate into immediate price appreciation, particularly during broader market corrections.

Adoption Trends Offer Long-Term Context

Adding to the mixed outlook, Cardano price continues to see strong adoption in key markets. Recent data indicates that ADA ranks among the top 10 most held cryptocurrencies in India, overtaking assets such as Solana (SOL) and Polygon (POL) in investor ownership.

ADA ranks among the top 10 most held cryptocurrencies in India. Source: MinswapIntern via X

While adoption metrics support Cardano’s long-term relevance, short-term price action remains driven primarily by technical structure and overall market sentiment.

Cardano Market Overview

Cardano remains significantly below its 2021 all-time high of $3.09, reflecting a prolonged corrective phase shared by many large-cap altcoins. Short-term traders remain focused on defending the $0.38 region, while longer-term investors view deeper pullbacks as potential structural retests rather than a breakdown of fundamentals. Market sentiment around ADA remains mixed, with price direction likely influenced by broader crypto market conditions, particularly Bitcoin’s trend.

Final Thoughts

Cardano price is at a pivotal point. The $0.38 support level serves as a key reference for short-term stability, while a confirmed breakdown could expose ADA to a move towards $0.29. Technical indicators lean cautiously, though on-chain activity and adoption trends provide partial balance to the bearish narrative.

For now, ADA’s outlook remains conditional. Holding current support could allow consolidation, while further weakness would reinforce the broader downtrend. Monitoring structural levels and broader market cues remains essential for assessing Cardano’s next move.