ADA Maintains Bullish Structure Despite Cooling Leverage and Outflows

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ADA Maintains Bullish Structure Despite Cooling Leverage and Outflows

• ADA holds above $0.40 as buyers defend support, confirming improving short-term structure
• Ichimoku cloud support and higher low near $0.39 reinforce bullish momentum bias
• Cooling open interest and spot outflows suggest rallies may face resistance ahead

Cardano price action on the 4-hour chart signals improving short-term conditions as buyers defend key technical levels. After weeks of sideways movement, ADA reclaimed the $0.40 level, restoring confidence in the near-term structure. This move followed a steady recovery from late-range lows and reflects improving market participation.

Significantly, the rebound occurred while broader crypto sentiment remained mixed, highlighting relative strength. Traders now focus on whether ADA can maintain this recovery or return to consolidation.

Bullish Structure Builds Above Key Support

ADA continues trading above the Ichimoku cloud, which confirms short-term bullish control. Both conversion and base lines trend higher, reinforcing upward momentum. Besides that, price formed a higher low near $0.39, strengthening the developing uptrend. Consequently, short-term buyers retain control while ADA holds above the clouds upper boundary.

Immediate support sits between $0.398 and $0.400, which aligns with prior resistance turned support. A sustained hold above this zone keeps the structure intact. However, a pullback below $0.383 would weaken momentum and invite range-bound trading. Additionally, deeper support rests near $0.370 and $0.355, which mark key Fibonacci retracement levels.

ADA Price Dynamics (Source: Trading View)

On the upside, ADA faces near-term resistance around $0.414 to $0.415, an area tied to earlier selling pressure. A decisive break above this zone could unlock a move toward $0.437.

Moreover, the $0.440 to $0.445 range represents a broader breakout area where trend acceleration may occur. Hence, buyers must sustain volume and momentum to extend gains beyond current levels.

Capital flow indicators support this cautious optimism. The Chaikin Money Flow remains positive, signaling continued capital inflows.

This suggests buyers still accumulate dips rather than exit positions aggressively. However, momentum requires confirmation through sustained price acceptance above resistance.

Derivatives and Spot Flows Signal CautionSource: Coinglass

Open interest trends reveal an important shift in trader behavior. Earlier expansion reflected rising leverage and speculative interest. Recently, open interest cooled toward the $800 to $900 million range. This signals reduced leverage and more cautious positioning. Consequently, traders appear less willing to chase momentum.

Source: Coinglass

Spot flow data adds further context. Persistent outflows continue to outweigh inflows, pointing to ongoing distribution pressure. Although selling intensity softened recently, sellers remain active. Additionally, limited inflows suggest buyers lack strong conviction. Until inflows stabilize and outflows compress, ADA may struggle to sustain a sharp rally.