Cardano Stalls at Crucial Resistance Level Amid Sharp Price Drop

Cardano's price has been affected by a sharp 6% pullback to $0.3969, complicating its technical setup and leaving traders watching for a decisive break above $0.423.

The altcoin is displaying a cup-and-handle formation on four-hour charts that could push the token toward $0.51 if validated, but analysts are cautious about the current price action.

Cardano's movement tracks closely with Bitcoin, which briefly reclaimed $97,000 and helped Cardano touch $0.45.

The altcoin also received a boost from Midnight, the privacy-focused sidechain that Charles Hoskinson introduced several months ago, whose native token NIGHT surged 200% in value.