ADA Holds Ground After Bybit Hack, Eyes Recovery

Cardano, the fifth-largest cryptocurrency by market capitalization, has faced uncertainty following the recent Bybit hack. Despite the market turbulence, ADA has demonstrated resilience, maintaining its position above critical support levels and showcasing potential for price recovery. According to COINOTAG, analysts note that ADA's response to the current market conditions will be pivotal for its future performance.

In the wake of the Bybit incident, Cardano experienced a 4% decline, with prices settling around $0.76. Notably, trading volume increased by 50%, indicating a rise in trader activity despite the downturn. The price action of ADA has seen it revert towards a support level defined by a long-standing ascending trendline, a trend first established back in February 2025. This trendline has historically acted as a catalyst for price rebounds.

Recent price charts indicate that every time ADA has touched this trendline over the past three weeks, it has seen subsequent price increases. This trend indicates significant investor interest, with many traders forecasting further upward momentum for ADA. According to COINOTAG’s technical analysis, the current market scenario places ADA in a critical position, forming an ascending triangle pattern, supported by both the ascending trendline and a horizontal support at $0.745.

However, fluctuating market sentiments complicate predictions of whether ADA’s price will rally or decline. Currently, ADA’s Average Directional Index (ADX) indicates a value of 16, reflecting weak momentum that may be hindering its recovery. Furthermore, ADA is trading beneath the 200 Exponential Moving Average (EMA), contributing to its sluggish performance.

Assuming ADA can maintain its position above the $0.745 threshold, there exists a potential for a 10% increase, targeting the $0.85 mark. In contrast, breaching below the $0.74 support could likely lead to a 10% decline, pushing prices down to $0.65.

Investor sentiment appears mixed in the aftermath of recent market events. On-chain metrics from Coinglass show that exchanges recorded inflows of $7.35 million in ADA tokens shortly after the Bybit hack, followed by a subsequent outflow of $6.50 million. This reflects a dual dynamic of accumulation and distribution among investors. Further