3 Reasons Why Every Cardano Price Bounce Might Fail Under $0.37

Cardano's price recently bounced about 7% to $0.37 but failed to sustain momentum, repeating a familiar pattern. There are three main reasons for this failure. First, the bounce was sparked by a weak hidden bullish divergence on the 12-hour chart, which only signaled easing selling pressure, not strong buying control, especially as development activity peaked and then declined. Second, aggressive profit-taking occurs every time the price rises; spent coins activity spikes sharply during rallies, indicating holders are exiting positions rather than accumulating. Third, large holders (whales) are reducing their ADA balances instead of absorbing the selling pressure, leaving the price vulnerable. Derivatives data further supports this bearish outlook, showing short liquidations outweighing long liquidations by over 50%. For Cardano to break this cycle, development activity must increase, profit-taking must slow, and whales must become net buyers; otherwise, bounces will likely remain capped below $0.37.

(Source：BeInCrypto)