Cardano's price struggles to recover as anticipated bullish pattern fizzles out, leaving ADA under pressure in the market. Despite signs of oversold conditions hinting at a possible turnaround, uncertainty looms as sellers hold control and investors remain cautious about reclaiming resistance levels.

Traders eye potential losses as Cardano faces the risk of liquidation amounting to over $4.66 million if prices surge towards the $0.77 mark. Bearish traders have made bold bets on further declines, reflected in the negative funding rate and a lack of bullish enthusiasm.

Though shorts dominate currently, any unforeseen surge in buying activity could trigger a wave of liquidations, contrasting the prevailing bearish sentiment. Technical signals point to extreme selling pressure as the Relative Strength Index (RSI) dips into oversold territory for the first time in six months, typically signaling an impending shift in bearish momentum. However, ADA has a track record of struggling to capitalize on such situations, casting doubt on a swift recovery without broader market improvements.

ADA's price has fallen 25% in the past week, hovering around $0.71 with support at $0.70. The absence of strong upward momentum raises concerns about a quick recovery, especially after the bullish pattern was invalidated, indicating potential stagnation between $0.70 and $0.77 until a breakout occurs.

A breakthrough above $0.77 could tip the scales in favor of buyers, triggering a short squeeze and possibly propelling ADA towards $0.85, a crucial level for targeting $1. However, the road to $1 seems distant without overcoming this hurdle, suggesting continued tight-range trading for Cardano until a definitive move takes place.