The error you're seeing is because a SQL Server principal is using the credential you are trying to delete. You need first to find out which server principal (or principals) is using this credential and then remove the association before you can delete the credential.
SELECT
SP.name AS principal_name,
SP.type_desc AS principal_type,
C.name AS credential_name
FROM
sys.server_principals SP
JOIN
sys.credentials C ON SP.credential_id = C.credential_id
WHERE
C.name = 'SSISProxyCredentials_ABC'
After you get the name of the server principal(s) which is using your credential, you have to remove the credential from the server principal using the following script:
ALTER LOGIN [principal_name] WITH CREDENTIAL = NULL
And then you can delete the credential:
DROP CREDENTIAL [SSISProxyCredentials_ABC]
Don't forget that you need user with sufficient permissions (typically a sysadmin role). And please be careful when changing settings for server principals, as it can affect the functionality of your applications that depend on this principal.