Cardano’s native token, Ada, fell on Wednesday, dropping more than 3% to 64 cents as it broke through a critical support level and confirmed a shift in market sentiment, Coindesk Analytics data found.
The breakdown began on Tuesday, when trading volume spiked 67% above the 24-hour average. Almost 183 million tokens changed hands as ADA slipped below 64.5 cents, triggering sales and setting a move towards lower support zones.
The move reflected growing uncertainty in altcoin markets as institutional flows turned negative. According to Coinshares, ADA saw $300,000 in inflows this week, following $3.7 million in inflows from last week. Analysts point to crypto ETF approval delays and broader risk-taking behavior as the main reasons for the cycle out of altcoins and into more stable assets.
Today’s technical indicators show strong resistance at 65.50 cents, with ADA’s recent lower highs from the 67.19 cent peak reinforcing a bearish trend. Unless buyers return the resistance, analysts said the token could retest the level of 64 cents, with further falls.
The broader crypto market is also stumbling. Coindesk’s CD5 index has dropped 2% in the past 24 hours, capping continued pressure across digital assets heading into the final months of the year.
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