Price Analysis

Cardano(ADA) Price May Ignite a Steep 50% Drop Soon! This Is What Traders Should Do

Written by: Sahana Vibhute

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Sahana Vibhute

A passionate cryptocurrency and blockchain author qualified to cover every event in the crypto space. Researching minute occurrences and bringing new insights lie within the prime focus of my task.

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Mar 12, 2022

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Highlights

    Cardano price since the beginning of 2022 has failed to let out a single bullish signal and hence no major change may be expected in the coming days

    The asset could break the crucial support and hence huge possibilities of the ADA price heading towards lower support at $0.3 appears to be pretty high

The Cardano price ever since smashed its highs way back in September 2021, it fell into a deep bearish well. Currently, it is working hard for the 7th straight monthly candle in a row. Hence, displaying huge probabilities of revisiting lower support close to or below $0.4 levels very soon. Each attempt of the asset rising high towards the immediate resistance is just falling apart. But the local support levels are tested and achieved. 

The ADA price is hovering along with the crucial support at $0.78 after breaking down from $1.01 levels. The asset did scramble down below the support a couple of times, flipped but failed to rise high to eliminate the bearish scenario. And hence maintained a notable descending trend which aimed to test the lower support again and again. 

As mentioned in the above chart, the price is testing the pivotal support levels from the past couple of days. Moreover, it is currently unable to nullify the possible bearish trend as the trading volume remains pretty much limited. In the short term, the asset is constantly testing these support levels again and again after a notable spike from $0.78 to $0.8 levels. Currently, the asset is attempting very hard to form a strong uptrend but remains restricted below $0.8 at $0.79. 

Also Read : This is When Bitcoin traders Can Expect BTC Price To Break Out! Here are The Levels To Watch

Therefore, while the asset is expected to visit the lower levels, then shorting Cardano may be a good option for the ADA price. If in case the price breaks through the current support then it may lose its grip over the price trend. Therefore, shorting at the current phase may attract more than 50% profits as the lower target is set around $0.4 or a little lower. However, no clear indication of a price flip or rebound at any support levels surfaces at the press time. 

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Sahana Vibhute

A passionate cryptocurrency and blockchain author qualified to cover every event in the crypto space. Researching minute occurrences and bringing new insights lie within the prime focus of my task.

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