Cardano (ADA) Price: Recovery Rally Stalls as Hoskinson Hints at December TVL Boost

TLDR

• Cardano (ADA) trades at $0.41, down 70% from its December 2024 peak and at its lowest level in over a year
• Charles Hoskinson expects TVL to surge following the December launch of Midnight, a new project with partnerships from major crypto developers
• Cardano’s current TVL has dropped 36% in 30 days to $186 million, with less than $40 million in stablecoin supply
• On-chain data shows whale accumulation and positive funding rates, suggesting traders expect price increases
• Technical analysis shows ADA in oversold territory with a falling wedge pattern pointing to potential recovery toward $0.50

Cardano price sits at $0.41, marking its lowest point in over a year. The token has fallen 70% from its December 2024 peak of around $1.37.

The network faces criticism about its usage. Nansen’s CEO recently predicted Cardano would fall out of the top 20 cryptocurrencies due to low activity.

When Cardano’s network experienced a recent glitch, users joked that nobody noticed because the platform sees little use. The network currently holds $186 million in total value locked, down 36% over the past month.

Charles Hoskinson addressed these concerns in a recent video. He pointed to Midnight, a project scheduled to launch in December 2024, as a catalyst for growth.

Midnight Launch Expected in December

Hoskinson said Midnight has secured partnerships with major crypto developers. He expects these partnerships to drive up TVL across both Midnight and Cardano.

The Cardano founder also mentioned an upcoming RealFi project that could accelerate network growth. He did not provide specific details about this project.

Current data shows Cardano trails newer networks. Monad, which launched its mainnet on Monday, already approaches $100 million in TVL. Cardano holds less than $40 million in stablecoin supply and has no presence in gaming or real-world asset markets.

Trading Data Shows Mixed Signals

On Tuesday, Cardano traded around $0.42, up nearly 5% from the previous day. CryptoQuant data shows large whale orders and increased buy-side activity.

Funding rates on derivatives exchanges turned positive at 0.0014%. This means long position holders are paying short position holders, indicating more traders expect price increases.

The Relative Strength Index sits at 30, below the oversold threshold of 30. The Moving Average Convergence Divergence lines are converging toward a potential bullish crossover.

ADA formed a falling wedge pattern on daily charts. The price bounced from the lower boundary of this pattern on Saturday, gaining 6% over two days.

Technical analysts see potential resistance at $0.49. A move above this level could push the price toward $0.50. Support sits at the lower trendline near $0.39.

The token broke below a double-bottom pattern at $0.5097 formed several months ago. A drop below the wedge’s lower boundary could send prices to $0.2772, matching August 2023 lows.

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