Cardano (ADA) continues to suffer from bearish pressure after multiple failed recovery attempts. However, the recent decline appears to have opened a window of opportunity for investors.
Once ADA price enters an important cumulative range, buyers are showing renewed interest and could set the stage for a rebound.
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Cardano finds an opportunity
The market value to realized value (MVRV) ratio shows that Cardano is currently in the opportunity zone. With values ranging from -9% to -19%, this indicator reflects that most ADA holders experience unrealized losses.
Historically, this range often marks the bottom of a regional market, where selling typically slows and accumulation begins.
Such a development could be the first sign of a change in market sentiment. If holders stop selling and investors start buying at lower prices, the resulting demand could provide the fuel needed to stabilize ADA.
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The Chaikin Money Flow (CMF) indicator supports this potential turnaround. Data shows that Cardano has recorded consistent inflows over the past few days, indicating a return to investor confidence.
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CMF is currently in a positive zone above the zero line, confirming active capital movement to ADA.
Sustained inflows often precede a price recovery, especially when coupled with a decline in selling pressure. If this trend continues, Cardano could gradually regain momentum in the short term.
ADA price may rebound
At the time of writing, Cardano price is $0.641, above the support at $0.623. The altcoin remains below the $0.661 resistance level, but repeated rejections have hampered its gains over the past week.
If the current situation continues, ADA could break through $0.661 and aim for $0.696. However, for Cardano to mark a true recovery, it will need to reach and sustain levels above $0.754. Such a move would confirm renewed market strength and investor optimism.
On the other hand, if ADA faces another selloff, the price could fall below $0.623 and test $0.608. Failure to sustain these supports could invalidate the bullish outlook and cause further downside pressure.
