Cardano’s market structure tightened sharply as ADA fell to $0.4622, marking a 4.44% daily drop, according to fresh data shared by analyst TapTools on X. The token traded inside a wide range during the session and reached a 24-hour high of $0.4984 and a low of $0.4587, while spot trading volume settled at 197,422.43 USDT. Sellers increased pressure throughout the day and kept ADA near its lowest level since early October. This drop pushed the token back toward a long-term support area that previously triggered strong multi-month reversals.
ADA opened the session at $0.485 and closed at $0.4622, producing a 5.01% intraday decline and an 8.16% amplitude. The short-term and mid-term moving averages pointed to a strong downward trend. The MA(7) stands at 0.5311, the MA(25) at 0.5847, and the MA(99) at 0.762. These levels reflect a clear weakness because ADA continues to trade far below all three averages.
Earlier rallies from $0.3201 created several peaks between late 2024 and early 2025, yet each attempt formed lower highs. Demand weakened as volume fell to 358.814K, signaling reduced interest across spot markets. This loss of strength also pushed ADA directly into its major support zone.
TapTools reported that “ADA has returned to a major long-term support zone. Not fun to watch, but this is where cycles reset.” The token now sits on this structural level with no break below it during previous cycles.
On-chain analysis from Santiment highlighted a strong shift in valuation conditions. The 7-day MVRV sits at -13.44%, and the 30-day MVRV sits at -20.47%. These negative readings indicate undervaluation during both short-term and mid-term timeframes. Traders historically tracked these zones because ADA often produced recoveries once MVRV reached similar negative levels.
These readings form part of a broader trend. ADA’s market structure continues to weaken, yet the negative MVRV values show that recent selling may have reached exhaustion levels. Traders monitored these signals closely across several exchanges because they often aligned with increased buy-side activity.
Derivative markets showed strong instability during this period. New data from TapTools displayed sharp swings in the OI-Weighted Funding Rate between October 22 and November 17. These movements stretched from positive spikes above 0.006% to steep negative dips near -0.009%.
Green funding zones showed moments when long traders paid short traders. Red zones marked periods when short traders paid long traders. Large negative impulses appeared between October 29 and November 4 and again between November 12 and November 15. These shifts revealed rapid changes in leveraged positioning across futures markets.
The ADA price line on the chart, shown in yellow, declined steadily from $0.70 to $0.46 during the same period. The combined decline and funding swings reinforced growing leverage stress throughout the derivatives sector.
TapTools stated that these wide swings often highlight higher-risk trading environments. The sharp rotation between positive and negative funding rates reflects heavy adjustments in trader sentiment, especially during extended downtrends.
ADA now trades at a key turning point. Its price sits on a support zone that influenced previous cycles. MVRV readings show undervaluation. Derivatives funding rates reveal unstable leverage. Traders are watching how spot and derivatives markets interact, as both may influence ADA’s direction.
The next move depends on how buyers respond to this long-term support. A firm defense may stabilize the chart. A failure may open lower price ranges.
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Cardano sits on a crucial long-term support zone as its price, MVRV ratios, and funding rates signal heightened market stress. Traders now watch this level closely because it shaped several past recoveries. ADA’s next move depends on buyer strength and overall market stability.