Death Cross Casts Uncertainty Over Cardano’s Prospects, Optimism for Protocol’s Future Persists

Cardano (ADA) has signaled a bearish trend after forming a death cross on its four-hour chart—a technical pattern often linked to extended price declines. This formation appears when a short-term moving average dips below a long-term moving average, typically indicating increased selling activity. ADA’s value dropped sharply from $0.888 to $0.788 at the start of the week, mirroring a broader downturn in the crypto market. After reaching a high of $0.937 on September 19,

has fallen to a low of $0.754, highlighting ongoing bearish momentum Cardano Confirms Death Cross Amid $855 Million Crypto Market … [ 1 ] Cardano Faces Death Cross as Market Crash Triggers $855M … [ 2 ].

Widespread liquidations have accelerated the downward pressure. Data from CoinGlass shows that over $855 million in leveraged crypto positions were wiped out in the last 24 hours, with $721.54 million coming from long positions. Short positions were also affected, with $133.22 million liquidated. This disparity points to heightened volatility and a risk-off sentiment dominating the market Cardano Confirms Death Cross Amid $855 Million Crypto Market … [ 1 ] Cardano Faces Death Cross as Market Crash Triggers $855M … [ 2 ].

Technical experts are watching crucial price points for signs of either a rebound or further losses. The nearest resistance is at $0.86, with a broader recovery target at $0.94 if buying momentum returns. On the downside, support at $0.735 is vital and could determine whether ADA finds stability or continues to slide. Broader economic factors, such as a 0.3% monthly increase in U.S. core inflation, have strengthened expectations for Federal Reserve rate cuts, which could offer some support to risk assets in the coming months Cardano Confirms Death Cross Amid $855 Million Crypto Market … [ 1 ] Cardano Faces Death Cross as Market Crash Triggers $855M … [ 2 ].

Although the short-term outlook remains bearish, Cardano’s long-term strategy features major protocol enhancements to boost scalability and transaction capacity. The forthcoming Ouroboros Leios update, beginning with Leios Lite, is expected to raise Cardano’s throughput by 30 to 55 times. This upgrade is part of a staged rollout to tackle scalability issues. A future version, Ouroboros Omega, will introduce adaptive security and improved storage, with founder Charles Hoskinson stating these changes will solve scalability challenges and enhance interoperability through initiatives like Midnight and partnerchains Cardano Confirms Death Cross Amid $855 Million Crypto Market … [ 1 ] Cardano Faces Death Cross as Market Crash Triggers $855M … [ 2 ].

Experts warn that while a death cross often signals bearish momentum, it does not guarantee a price collapse. Factors such as investor sentiment, economic trends, and blockchain advancements will be key in shaping ADA’s trajectory. Still, current technical signals and market conditions indicate that

is likely to face considerable challenges in the short term, though ongoing protocol upgrades may drive future growth Cardano Faces Death Cross as Market Crash Triggers $855M … [ 2 ].