Cardano drops out of the top 10 as the price hits the lowest level in 3 years – What should traders do next?

Some of the top cryptocurrencies by market capitalization are facing significant challenges in adapting to the current harsh market conditions. Among them, Cardano (ADA) is a notable name, having only recorded a 2% increase in the past 24 hours after missing the short-term market recovery the day before.

ADA’s challenges show no signs of easing as its historical price levels continue to plummet. However, a rare bright spot is the slow but steady accumulation by major institutional investors. This raises the question: how will the price of this altcoin react to the conflicting signals currently present?

ADA Loses Top 10 Position to Bitcoin Cash

Due to poor price performance, ADA has officially fallen out of the top 10 cryptocurrencies by market cap, replaced by Bitcoin Cash (BCH). This is the first time this has happened since 2021.

This position change began the day before when BCH surged by 20%, while ADA’s price continued to trade sideways. As of now, ADA’s market cap stands at $9.766 billion, lower than BCH’s $10.43 billion.

Source: CoinMarketCap In fact, ADA is one of the worst-performing cryptocurrencies in the top 10 group.

Cardano Hits Lowest Price Since the FTX Crash in 2022

Not only has ADA been removed from the top 10, but it also recorded its lowest price in three years. Currently, ADA’s price has returned to levels seen immediately after the FTX exchange collapse in November 2022. At that time, ADA’s price dropped below $0.22—a level it revisited in June 2023.

Even the sharp decline on October 10, 2025, couldn’t push ADA’s price down as much as it is now. Although the market has recently shown slight signs of recovery, ADA continues to slide, showing no positive signals.

However, it is noteworthy that the number of ADA transactions is trending upward. After hitting a low of 168,100 transactions, this number has increased to 234,443 transactions at present. Still, this trading volume remains significantly lower than previous historical levels.

Source: TradingView From a technical perspective, ADA has been in a bearish trend since December 2024. Currently, this altcoin is trading below the bottom of the August 5 crash, when the price plunged to $1.329.

Based on historical data and price charts, it can be inferred that the $0.22 price zone is approaching a critical reversal point. If this level is rejected again, it will be the sixth time in history. However, no one can be certain, as this could mark the start of an even longer bear market cycle. In the worst-case scenario, ADA’s price could break below the key support level of $0.22.

Grayscale Increases ADA Holdings in Smart Contract Fund

Despite the bearish market, Grayscale continues to increase its ADA holdings in its smart contract investment fund. It seems the company views the historic low prices as an attractive investment opportunity.

Accordingly, ADA’s share in the fund has increased from 18.50% to 19.55%. This is a notable decision, especially considering that Grayscale also holds other major cryptocurrencies like Ethereum (ETH) and Solana (SOL).

Source: Grayscale Smart Contract Fund Current data suggests that ADA’s three-year bottom could potentially mark the beginning of a new bullish trend. However, the possibility remains that the market may continue to face negative developments in the near future.

Mr. Teacher