Cardano (ADA) continued its downward slide on Monday, falling more than 5% to trade around $0.57, extending last week’s 10% decline.
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Market data from MintGlass shows that trading sentiment is becoming increasingly bearish, with ADA’s long-to-short ratio standing at 0.75, the lowest this month. The measure indicates that more traders are betting on further declines.
Data on the chain reflects this negative outlook. According to Santiment, daily active addresses on the Cardano network fell from 32,115 in mid-October to 24,280 on November 3, indicating reduced demand and declining engagement.
Technical indicators also reflect weakness. ADA’s RSI is at 32, deep in bearish territory, while the MACD histogram shows waning bullish momentum. Analysts warn that a sustained move below $0.55 could open the door for deeper corrections towards the $0.49 support zone.
ADA's price trends to the downside on the daily chart. Source: ADAUSD on Tradingview
Hoskinson: “It’s not a technology problem, it’s a coordination problem”
As prices drop, Cardano founder Charles Hoskinson has reignited the debate over the network’s DeFi performance.
In his latest podcast, Hoskinson criticized the ADA community for its limited participation in decentralized finance platforms, claiming that Cardano’s total value locked (TVL) could easily reach $5-10 billion if users embraced native DeFi protocols.
He stated: “It is not a technology problem. It is a problem of governance, coordination and accountability.” Despite over 1.3 million ADA holders betting on the network, few are using DeFi apps, leading to stagnation.
The current TVL is $271 million, far behind Ethereum’s $85 billion and Solana’s $11 billion. Hoskinson argued that without community adoption, it would remain difficult to attract users from other ecosystems.
Cardano (ADA) DeFi integration and institutional accumulation offer hope
Despite sluggish DeFi performance, Cardano remains one of the most active blockchains in terms of development activity, outperforming Ethereum and Solana at the end of October, according to data from Santiment.
Projects such as Midnight And RealFi aim to connect Cardano to Bitcoin liquidity and real credit markets, potentially unlocking billions in capital inflows.
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Meanwhile, big investors seem to be quietly accumulating. Recent data shows that more than 37.5 million ADA have been moved from Coinbase to private wallets, a sign of long-term confidence. Combined with a steady outflow of tokens from exchanges, this accumulation phase could lay the foundation for a future recovery.
As Hoskinson puts it: “We can do pretty much anything, the question is: can we do it together?”
Cover image of ChatGPT, ADAUSD chart from Tradingview