The cryptocurrency market is currently experiencing significant selling pressure, and Cardano (ADA), the 10th-largest cryptocurrency by market capitalization, is feeling the impact. At the time of writing, ADA has dropped by 2.38% over the past 24 hours, bringing its price to $0.411.

Recent on-chain data has identified a crucial support level for ADA, highlighting a significant price range where a substantial volume of ADA was acquired. According to on-chain analytics from IntoTheBlock, the next critical support level for Cardano lies between $0.371 and $0.403. This range is particularly significant because it represents a zone where 2.6 billion ADA were purchased by 251,280 addresses, with the average buying price in this range being approximately $0.386.

The concentration of buying activity within this price range typically indicates that a large number of investors are likely to defend this zone, creating a strong support level for Cardano. This support could potentially halt the current downward trend and provide a foundation for a price rebound. Notably, this support zone was effective in stopping ADA's price decline during the mid-April market downturn.

Currently, ADA is trading just above this key support zone, with recent price action testing these levels. A sustained price above $0.386 could suggest that the market is respecting the on-chain data signals, possibly leading to price consolidation or even an upward movement. On the other hand, a break below this range might lead to further declines, as the support would no longer hold.

As the market anticipates ADA's next price move, the on-chain data has provided a clear indication of where the next support might be found. Whether this support zone will hold or succumb to market pressure remains to be seen, but it undoubtedly represents a critical area to watch in the coming days. Investors and traders will be closely monitoring this range to gauge the potential for a price rebound or further downward movement.