- ADA outperforms majors after reclaiming the 20-day EMA.
- Short liquidations amplify buying as volume jumps sharply.
- Stablecoin supply growth strengthens Cardano ecosystem activity.
- ADA price now faces major resistance between $0.183 and $0.187.
Cardano price climbed over 12% on Friday, July 3, marking a sharp rebound after the token sank to a six-year low late last month following the SecondFi exploit.
U.S. jobs data released on July 2 came in weaker than expected, which boosted sentiment for risk assets. Bitcoin price climbed above $62,500 for the first time in nearly two weeks.
Cardano’s rise was also supported by breaking above its 20-day EMA, higher trading volume, and a wave of short liquidations. At the time of writing, Cardano price traded near $0.1805, making it one of the strongest performers of the day.
ADA Finds Fresh Support as Stablecoin Growth Accelerates
Network activity picked up as well. DefiLlama data shows Cardano’s native stablecoin supply grew by 20.22% over the past week, reaching just under $46 million. While Cardano’s stablecoin market cap is still small, ranking 45th behind chains like Flare, Flow, Sonic, Cronos, and Algorand, this growth points to stronger on-chain activity.
Buyers reinforced that backdrop by reclaiming a key technical level. ADA broke above and held its 20-day Exponential Moving Average near $0.17 on a 61% increase in trading volume, validating the breakout after weeks of sustained selling pressure.
Derivatives markets reflected the shift in positioning. Twenty-four-hour futures trading volume rose 64.88% to $828.30 million, while open interest climbed 19.70% to $466.41 million, showing fresh capital entering the market rather than positions simply rotating.
Further, buying pressure intensified as bearish bets were forced out of the market. ADA recorded roughly $3.10 million in 24-hour short liquidations, compared with just $97,970 in longs.
Cardano Price Tests Major Resistance After Breaking June Downtrend
The rally marks ADA’s strongest daily performance in weeks after the token spent much of June under persistent selling pressure. The Cardano price has reclaimed the $0.179 area, broken its sequence of lower closes, and recovered several weeks’ losses in a single session.
The broader structure, however, has not fully turned. ADA remains below its declining 50-day EMA, while the Supertrend indicator continues to identify the prevailing trend as bearish. Even so, buyers have established a higher low from June’s bottom, and the latest expansion candle points to aggressive demand rather than a routine oversold bounce. The daily RSI has climbed to 58.32, reinforcing the improvement in short-term momentum.
The next big test for ADA is between $0.183 and $0.187, where several resistance levels converge, including the 50-day EMA, Supertrend resistance, and a previous horizontal resistance level. If the Cardano price closes above this range, it could boost the recovery and shift focus to $0.20, then $0.220, $0.245, and the main supply zone at $0.282-$0.30.
However, if ADA rejects at these levels, the overall downtrend will continue. The first support is at $0.161, with $0.140 as the next level if selling picks up again. It’s also important for Bitcoin to stay above $60,000, since a drop in BTC could put pressure on altcoins like Cardano.
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