Why Cardano (ADA) Could Be Registering Another Decline, Analyst Explains
16 September 2022 - 04:01PM
NEWSBTC
Cardano faces a new obstacle with the impending Vasil update.
Analyst and futures trader Peter Brandt predicts poor performance
for the coin based on current trends and projections. He recently
tweeted on the present state of affairs for Cardano. “This is a
fractal chart pattern called a descending triangle. If the
construction continues in the fractal, $ADA should have one more
significant retreat.” The keywords are “should,” and not
“must,” Brandt tweeted. The analyst pointed out the coin’s
current trend. Although Cardano has been doing poorly as of late,
the market still seems to be anticipating the worse for the
currency based on the current downward angle. Expectations and
conjecture are not a guarantee, but they do help to outline the
paths the asset could take in the future. Related Reading: Will
Tron Tie-Up With Liquidity Provider Wintermute Boost TRX Price? A
Crash In The Offing For Cardano? And as a result of the crypto
market’s recent performance, this research may cause investors to
worry about a possible impending crash. The coin’s value has fallen
from its recent high of $0.5043 at the market’s closing to its
current level of $0.4574. This is a 90% discount, which is huge. In
spite of this, the value of the coin has remained relatively
unchanged. Cardano’s current price has been attempting to extricate
from the 78.60 Fib level, which is now located at $0.5025.
However, the bulls have not gained sufficient
aggressiveness for this, making the price extremely volatile.
This inability to barrel upwards, together with the analysis,
may indicate that the larger decline has already begun. This
decline may also be associated with the underperformance of other
crypto assets. According to Coingecko, the 10 leading
cryptocurrencies have been on a downward trend, with Ethereum
losing 10% of its value in just a week. Broader Market Seen To
Experience More Pain This linkage with leading cryptocurrencies can
further push Cardano’s price towards the bottom. As a result of
Bitcoin’s decline following the release of the latest CPI report
and expectations of a 1% increase in interest rates, the broader
market will continue to suffer greatly. Latest headlines of the
Vasil upgrade may not be sufficient to prevent a broad market
decline. If Cardano’s future is to be bright, the crypto market as
a whole must perform better. This is extremely unlikely, though,
considering Bitcoin closely follows the S&P 500 Index. In light
of this, Cardano investors should prepare for another crypto market
crash. If investor sentiment is resilient, a catastrophic scenario
such as the one we just outlined can still be reversed. As
Cardano’s upgrade nears, additional information should become
available over the next few days. Related Reading: AVAX Price
Rebound Fails To Breach $22 Resistance Due To High CPI Data ADA
total market cap at $15.5 billion on the daily chart | Source:
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