Cardano Faces Test as Derivatives Traders Send Mixed Signals

Cardano's recent rally is showing signs of fatigue as it trades below $0.250 on Monday, down from last week's gain of over 11%. The token's price remains above several key technical levels, but derivatives traders are sending mixed signals.

The long-to-short ratio on CoinGlass shows that short positions outnumber long ones, indicating a cautious or bearish tilt among traders. However, the funding rate has turned positive since September 17, suggesting greater demand for leveraged exposure to potential price gains.

CryptoQuant's data adds to the uncertainty, showing large orders from whales alongside signs of sell-side dominance and overheating in spot markets. The mix gives the data a mildly cautious tilt without showing broad agreement across all indicators.