Cardano price may lead to $10 million long squeeze on Cryptonews
March 22, 2026
Cardano’s current trading price of around $0.264 implies a significant threat to long positions, as a slight slide to $0.253 could lead to the unwinding of $9.93 million in long positions. Despite some relief in the form of a decline in realized losses on the Cardano network, the derivative market’s setup below the current price indicates a potential near-term risk.
Data from Santiment covering the period from February to March reveals a consistently negative Network Realized Profit/Loss metric for Cardano. The losses in $ADA ranged from around -6.56 million to -47.38 million $ADA during this period, with the deepest trough observed around March 8.
Although there has been a substantial recovery in the loss metric, it has not yet crossed into positive territory, indicating persistent selling pressure. Until realized profits outstrip losses, achieving sustained price recovery remains challenging. The continued realization of losses by holders undermines buying conviction and exerts downward pressure on the market until market capitulation occurs.
The Liquidation Map highlights a concentrated buildup of long liquidations at levels starting from $0.275 and intensifying towards $0.253. A decline to $0.253 could trigger approximately $9.93 million in cumulative long liquidation leverage. On the other hand, there is significant short liquidation leverage above the current price, peaking at about $20.89 million cumulative at $0.300.
This scenario presents a liquidity squeeze, with Cardano’s price sandwiched between two competing liquidation pools. The critical level to watch is the $0.253 long cluster, as breaching this level would not necessitate a significant breakdown but could test lower support levels. Market makers often target such liquidity clusters, and a slight decline of 4.1% from the current price to $0.253 could trigger liquidations.
Cardano’s price is currently within a resistance zone spanning from $0.2856 to $0.3004, which has consistently thwarted upward moves since late January. Price action within this zone has been met with rejections, indicating formidable resistance. To avoid a squeeze and pave the way for further bullish momentum, Cardano needs to close above $0.2856 consistently.
In conclusion, Cardano’s price at the current level presents a precarious situation for long positions, with a potential trigger of a $10 million long squeeze if the price drops to $0.253. The persistence of realized losses on the network and the resistance in the price range from $0.2856 to $0.3004 indicate the challenging road ahead for Cardano in the near term.
