As investors chase AI headlines, Cardano (CRYPTO: ADA) Foundation Chief Technological Officer Giorgio Zinetti says DeFi is entering the kind of quiet phase where long-term winners are usually built.
Everyone's Talking About AI, Nobody's Talking About DeFi
In a post on X on Tuesday, Zinetti said attention has shifted away from decentralized finance just as market conditions begin to favor builders over speculators.
He noted that capital has become scarcer and narratives more selective, which historically creates space for teams focused on shipping rather than headlines.
"That's usually when the next cycle's winners are being built," Zinetti wrote, adding that the strongest DeFi protocols of 2026 are likely being developed by founders operating outside the spotlight.
Macro Signals Show Risk Appetite Is Thinning
The comments came alongside broader signs of fatigue across digital assets.
Zinetti pointed to Bitcoin (CRYPTO: BTC) network activity falling to a 12-month low, miner revenue dropping about 20% from the third quarter, and price sitting roughly 32% below its recent peak after more than two months of decline.
Those signals suggest that speculative excess is cooling, even as capital reallocates toward narratives perceived as more durable.
In that environment, DeFi's lack of attention may be a feature rather than a flaw.
ADA Tests A Make-Or-Break Technical Level
Cardano Price Prediction (Source: TradingView)
On the daily chart, Cardano is trading near the lower boundary of a descending channel that has defined its trend since early October.
Each rebound within that structure has weakened, keeping price pinned under falling resistance.
The Supertrend sits near $0.46, well above current levels, while Parabolic SAR dots continue to trail price from above, signaling no confirmed reversal.
Why $0.38 Is The Line In The Sand
The $0.38 area has acted as repeated support through December, but each bounce has been smaller than the last.
That pattern suggests demand is thinning rather than strengthening.
A daily close below $0.38 would leave little structure to slow downside momentum, with the next meaningful zone near $0.25.
The lack of historical consolidation between those levels increases the risk of a quick 35% downside move if support fails.
ADA Short-Term Analysis (Source: TradingView)
On the 30-minute chart, ADA is compressing between $0.38 and $0.39 after failing to reclaim broken support near $0.40.
RSI is stabilizing near 50 without reclaiming bullish territory, and MACD remains flat near the zero line, a pattern consistent with corrective pauses inside a broader downtrend.
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