Cardano, which showed an increase of approximately 138% from its annual low, rose to $ 0.657 and then lost 14% in value, falling to $ 0.562. This decline not only affected Cardano, but a similar trend was observed in other major cryptocurrencies.

While Bitcoin approached the level of $ 90,000, it experienced the same withdrawal, falling again to $ 86,000. Other major coins followed suit. Behind this retreat is largely the desire of investors to realize profits.

While the crypto market has been experiencing a strong bull run in recent days, many investors closed their positions to take the profits.

Several important factors were effective in Cardano’s price increase. Cardano founder Charles Hoskinson stated that after his election victory in the United States, he plans to take a more active role in politics. This could be an important factor for the future development of Cardano.

Additionally, Cardano’s DeFi total value locked (TVL) reached $350 million, the highest level in the last seven months. This increases Cardano’s growth and impact in the DeFi field.

Cardano’s TVL is expected to grow further following BitcoinOS integration. BitcoinOS stands out as a platform that can unlock liquidity worth $1.3 trillion.

Along with these, Cardano’s futures open positions also increased significantly. Cardano’s futures open interest has reached its highest level in the last few months, reaching over $500 million. This shows that investors’ interest in Cardano has increased.

When we look at the daily charts of Cardano, we see that the price has formed a reverse head and shoulders formation and this indicates an upward trend.

An important signal for the future of Cardano is that the golden cross formation is approaching. This formation is formed by the intersection of the 50-day moving average and the 200-day moving average and is commonly seen in the bull market. The formation of this formation means that Cardano’s rise may continue.

However, the recent bearish engulfing pattern indicates that Cardano’s price may drop further. This pattern is marked by a red candle that is completely surrounded by the previous small bullish candle, which may herald a possible pullback.

If this pullback occurs, Cardano’s price could drop to $0.45, which is 21% lower than its current price. However, for this bearish scenario to be valid, Cardano must hold the $0.657 level as a support level.

Cardano’s price movement varies in line with general trends in the cryptocurrency market.

The future of Cardano seems to be shaped especially by the developments in the DeFi field and the changes in global markets. Therefore, investors need to be careful and constantly monitor the market.