he Cardano (ADA) price has been showing a bearish trend in the past two months, erasing all the gains it made during the rally on July 13. A significant factor contributing to this decline is the classification of ADA as a security by the US Securities and Exchange Commission (SEC), which has cast a negative shadow over the cryptocurrency, putting it at a disadvantage compared to other cryptocurrencies like Polygon (MATIC) and Solana (SOL).

However, there seems to be a ray of hope for Cardano (ADA) as its price appears to have found support in the price range between $0.2446 and $0.2535, which has acted as a reliable support zone in the past. This could be a crucial turning point for ADA, especially after a 30% drop from its high of $0.3673 on July 13.

Understanding that demand zones are areas where buyers are actively participating, a surge in buying pressure above the current level of $0.2546 could pave the way for Cardano's price to aim for the psychological level of $0.3000, a level last observed on August 9. In a highly bullish scenario, a move to reclaim the $0.3519 level could be possible, but this would likely depend on Bitcoin (BTC) price movements aligning favorably.

Notably, the Awesome Oscillator histogram bars are showing a strong bullish signal, indicating positive momentum for Cardano's price.

This bullish sentiment is further supported by the Relative Strength Index (RSI), which, after a steep decline, is now stabilizing, suggesting corrective measures are being taken to prevent further downside.

Additionally, on-chain metrics for ADA are promising, as its social dominance is steadily increasing. This metric measures the share of ADA mentions on social media related to more than 50 other highly discussed cryptocurrency projects online. This suggests growing interest and attention in Cardano within the cryptocurrency community.