Cardano continued to slide downwards on Monday. It fell more than 5% and traded at $0.57. That’s an extension of the 10% fall last week.
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Data from the market CoinGlass The ADA ratio of long to short is now at the lowest value this month. It shows more traders betting on further falls.
This negative trend is reflected in the data on-chain. Santiment claims that daily addresses active on the Cardano Network dropped from 32.115 mid-October down to 24,280 November 3 indicating a reduced engagement and decreased demand.
The technical indicators are also showing weakness. ADA’s RSI is at 32 and in deep bearish territory. The MACD Histogram also shows a waning bullish trend. Analysts caution that a sustained decline below $0.55 can lead to further corrections towards the $0.49 resistance zone.
On the daily graph, ADA's prices tend to trend downward. Source: ADAUSD on Tradingview
Hoskinson: “It’s Not a Technology Problem, It’s a Coordination Problem”
As prices decline, Cardano Charles Hoskinson, the founder of DeFi Networks has rekindled debate about its performance.
In his latest podcast, Hoskinson criticized the ADA community for its limited participation in decentralized finance platforms, asserting that Cardano’s total value locked (TVL) could easily reach $5–10 billion if users embraced native DeFi protocols.
“He said” “It’s not a technology problem. It’s a problem of governance, coordination, and accountability.” Despite more than 1.3 Million ADA owners staking the network, only a few use DeFi apps leading to stagnation.
TVL currently stands at 271 million dollars, well behind Ethereum $85 billions and Solanas $11 billions. Hoskinson said that without community acceptance, it would be difficult to attract users from other eco-systems.
Cardano DeFi Integration (ADA) and Institutional Accumulation offer Hope
Cardano, according to data from Santiment’s, remains one of most active blockchains based on development activity. In late October it outperformed Ethereum, Solana, and other popular chains.
Projects such as Midnight You can also find out more about the following: RealFi Cardano will be linked to Bitcoin lending and liquidity markets in real world, which could unlock billions of dollars in capital.
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While large investors seem to quietly accumulate, others are reportedly accumulating. Data shows that over 37,5 million ADA have been moved to private wallets from Coinbase. This is a clear sign of confidence. This accumulation phase, combined with token withdrawals steadily from exchanges could be the foundation for future recovery.
Hoskinson explains it this way: “We can pretty much do anything, the question is, can we do it together?”
Cover Image from ChatGPT and ADAUSD Chart from Tradingview
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Source: www.newsbtc.com
