Cardano (ADA) Pulls Back After Strong Performance Last Week, But Remains Above $0.75 Support

After rallying 19% last week, Cardano (ADA) has experienced some price fluctuations

Cardano (ADA) price has seen some rocky trading after last week’s strong performance. The cryptocurrency experienced a 19% rally but has since pulled back, dropping around 4% to trade at approximately $0.785.

Despite this short-term correction, ADA has managed to maintain support above the critical $0.75 zone. The price touched a weekly high of $0.864 before reversing. Sunday saw a 4.17% crash, followed by more volatility in recent days.

This pullback comes after testing higher levels, and traders will be keeping an eye on whether the support zone can hold. As this is a temporary retest before another leg up or the beginning of a deeper correction.

Cardano Price Analysis: Inverted Head And Shoulders Pattern

A technical analysis of Cardano’s price action reveals an inverted head and shoulders pattern with a neckline at $0.75. This bullish pattern suggests a possible 41% upward move if the pattern plays out completely.

The price movements are also being influenced by Fibonacci levels. The price is currently consolidating above the 50% Fibonacci retracement level of the recent decline from the 2025 highs.

The recent lows hit the 61.8% Fibonacci retracement level, while the highs reached the 23.6% Fibonacci retracement level.

The Relative Strength Index (RSI) peaked near overbought territory before reversing, showing a drop in momentum during this retest phase.

The 50-day and 200-day Exponential Moving Averages (EMAs) are both rising and may form a golden crossover, which would be a positive technical signal.

If ADA fails to hold the $0.75 support, the price could fall to the 50-day EMA at $0.71.

Overall, the current price action suggests consolidation below the 23.6% Fibonacci retracement level of the recent decline.

New Partnerships Boost Community Sentiment

The Cardano community remains optimistic despite the current price volatility. This positive sentiment is fueled by recent developments and announcements.

Brave Wallet has recently integrated ADA token support, expanding Cardano’s real-world utility and application. This integration represents a major step forward for the ecosystem.

“The Brave announcement was the first in a series that will come out of Summer and Fall, which I term the fixing broken windows deals or the Midnight negotiations,” said Charles Hoskinson, founder of Cardano.

These deals were reportedly delayed from 2022 due to issues with partners. Hoskinson mentioned that “a certain entity dropped the ball” and that Cardano was “ignored.”

The upcoming partnerships are connected to negotiations surrounding the Midnight upgrade, which has become a focal point for the community.

“We encountered difficulties with several partners who weren’t able to keep their commitments, especially during the previous bull market,” said Hoskinson.

“Finally, after Midnight, we'll be able to complete these partnerships and introduce new use cases for Cardano.”

This integration marks a significant development in the Cardano ecosystem, especially with the new partnerships set to be announced soon.