Are Cardano Investors Exiting? ADA Open Interest Drops Due to Sudden Reset
Since the correction of the broader cryptocurrency market began, Cardano (ADA) price decreased slightly, reaching less than 0.22 $. Although prices are experiencing strong declines, Cardano is starting to see declines in many key areas, such as the derivatives market, as Open Interest decreases.
Derivatives Cool As Cardano Open Interest Plunges
CardanoThe continued decline of ‘S has increased and is beginning to be seen in the derivatives market as Open Interest (OI) has fallen sharply. Its open interest has fallen following a sudden reversal of high positions, as shown in a report from Joao Wedson, market expert and founder of Alphractal.
A sharp decline means that traders have been fired or have closed positions due to a volatile increase, which drives away hypothetical exposure. By removing excess power from the system, these resets tend to steer away from overheated conditions.
According to experts, the ADA’s open interest has dropped from $1.6 billion to $334 million, but the trend is happening subtly. Data shows that major players are aggressively closing their ADA locations. However, the important insight here lies in the direction in which open interest is now concentrated.
Wedson emphasized that Binance, the leading crypto exchange, controls more than 80%. The ADA‘s open interest back in 2023, with the remaining 20% controlled by 17 other exchanges. Meanwhile, in 2026, this structure has completely changed.
As seen in the chart, Binance currently holds only 22% of Cardano’s open interest, while Gateio leads the charge with a 31% stake. Although it may seem counterintuitive, the expert said the change is more important than many people in the industry realize.
The same was observed with Blame each other when it converged from the level of 20 dollars to 200 dollars between 2023 and 2024, and the dominance of open interest of Binance increased by 10%, reaching 52%. However, The dominance of Binance it has declined again since 2024, and Solana’s price momentum has clearly weakened.
Wedson noted that the pattern is consistent. When open interest is split and Binance’s share falls, altcoins often lose their upsideand this is what is happening with Cardano. Binance is often the exchange that drives significant altcoin rallies, but only when competition is restricted and power is concentrated.
ADA In An Accumulation Range
After a major decline, Cardano’s price is sitting within a long-term accumulation range. The structure resembles the end of a correction phase and preparation for a new cycle, and a break from a long-term downtrend supports a bullish continuation setup.
At the outbreak, the Wolf of Crypto he predicts moving to $2 and $3, which marks the mid-cycle target. Meanwhile, the total target cycle is set at $6 and $10 in the strong case of the altcoin season.
Right now, Cardano is still one of the best working chains for developers, focusing on it to rulescaling, and real-world utility. Historically, after the exit of Bitcoin, the main currency enters the high beta Layer 1 such as Cardano, which may cause the price of ADA to increase.
Featured image from Unsplash, chart from Tradingview.com
Planning process because bitcoinist focuses on delivering well-researched, accurate, and unbiased content. We maintain strict sourcing standards, and each page is diligently reviewed by our team of senior technical experts and experienced editors. This process ensures the integrity, relevance, and value of our content to our readers.
