1. **Summary:**
Cardano’s price is down today due to diminishing user activity and strong overhead resistance. The network has experienced a significant decrease in daily active addresses and transactions since early December, leading to a decline in total value locked (TVL) on the Cardano blockchain. This reduced network activity and TVL have contributed to a decrease in demand for ADA tokens and a bearish outlook for the price. Veteran traders and analysts are also highlighting crucial support levels that could lead to further price corrections if not held.
2. **Key Insights:**
– Diminishing user engagement and reduced network activity on the Cardano blockchain are driving the price of ADA lower.
– The total value locked (TVL) on Cardano has dropped significantly in December, indicating decreasing demand for ADA tokens.
– The decline in TVL is not unique to Cardano, as other DeFi protocols on the network have also experienced contractions.
– Strong overhead resistance is observed above $0.90 for ADA price, with a significant number of addresses holding ADA tokens in that range.
– Analysts and traders, like Peter Brandt and Sssebi, are highlighting crucial support levels around $0.91 that, if breached, could lead to further price corrections.
– Readers are advised to conduct their own research and assessments before making any investment or trading decisions.
