Cardano shows steady price behavior after weeks of correction, holding key support near $0.36 as traders watch for a structural breakout and a potential recovery towards the $0.40–$0.50 zone.
Cardano price is once again drawing market attention as the price begins to stabilize after an extended corrective phase, prompting renewed debate over whether momentum is genuinely rebuilding or merely pausing within a broader downtrend.
Cardano price is trading around $0.37, up 4.21% in the last 24 hours. Source: Brave New Coin
ADA Cardano has shown early signs of short-term strength following a rebound from the $0.34–$0.35 region, an area that has repeatedly attracted buyers. As of January 28, 2026, Cardano is trading near $0.36, posting modest gains while holding above recent swing lows.
Descending Channel Defines the Near-Term Battle
On the higher-timeframe chart, ADA continues to trade within a well-defined descending channel, a structure highlighted by Sssebi. While the pattern reflects ongoing corrective pressure, descending channels historically tend to resolve to the upside once selling momentum exhausts.
ADA trades within a descending channel, with price compressing beneath trend resistance as traders watch for a breakout towards the $0.50 objective. Source: Sssebi via X
The critical condition, however, remains unchanged: Cardano must break its downtrend before a sustained recovery can begin. Ssebi’s framework points to $0.50 as a potential upside objective if a breakout occurs, but emphasizes that trend invalidation is required first. Until that happens, ADA remains technically capped, compressing rather than trending.
This places current price action in a waiting phase. Holding above the lower boundary near $0.34 keeps the bullish scenario alive, while a failure to do so would reopen downside risk.
Supertrend Flip Signals Early Momentum Shift
Momentum indicators are beginning to respond. Jesse Peralta’s chart shows ADA’s 4-hour Supertrend flipping green for the first time since mid-January, marking a notable change in short-term character.
Historically, such flips often align with relief phases or early trend transitions, particularly after prolonged downside. Peralta projects an initial recovery band towards $0.385–$0.400, a region that overlaps with prior supply and represents the first real test of strength. Acceptance above this zone would confirm that buyers are regaining short-term control.
Cardano’s 4-hour Supertrend flips green for the first time in weeks, hinting at an early momentum shift as price eyes the $0.385–$0.40 recovery zone. Source: Jesse Peralta via X
However, in corrective markets, these signals can fail without follow-through volume. As a result, price behavior around the $0.38–$0.40 band remains more important than the signal itself.
Cardano Technical Analysis
Nehal’s technical roadmap places ADA at the base of a potential breakout sequence. The chart highlights a transition from a falling structure into a higher-low formation near the $0.34–$0.35 region, an area that has repeatedly acted as demand. This zone aligns with the lower boundary of the corrective structure and marks where downside momentum has consistently stalled, suggesting sellers are losing control.
ADA forms a higher-low near the $0.34–$0.35 demand zone, pressing against descending resistance as traders watch for a trendline reclaim towards $0.42–$0.50. Source: Nehal via X
The setup also shows price pressing against descending resistance, forming a tightening range between support and trendline supply. A clean reclaim of that descending trendline would confirm a structural shift, with the first upside objective aligning near $0.42. Beyond that, the measured move projects into the $0.45 region, while the broader extension outlined on the chart points towards $0.50, where higher-timeframe supply becomes relevant.
Historic Support Zones Put Accumulation Back in Focus
The TapTools chart reframes ADA’s position through a longer-term lens, showing price returning to historically significant support zones that previously marked accumulation phases in past cycles. In earlier cycles, these regions acted as basing areas before broader trend reversals emerged. The current structure mirrors that behavior, suggesting ADA is moving through a reset phase rather than active distribution. This does not imply an immediate breakout, but it does indicate that risk-reward dynamics are improving for longer-term participants.
ADA revisits historic accumulation zones, hinting at a reset phase rather than active distribution. Source: TapTools via X
Cardano Price To Post Recovery in February?
Cardano price is showing early signs of stabilization, with price holding above the $0.34–$0.36 base and downside momentum easing. This keeps the door open for a February recovery, but the move remains conditional rather than assured.
The key level to watch is $0.385–$0.40. A clean break and hold above this zone would signal a structural shift and allow ADA to work towards $0.42–$0.45, with $0.50 coming into view over time. As long as $0.34 holds, the recovery case stays valid. A failure below that base would delay upside and return focus to downside risk.