Cardano Continues to Tumble As ADA Falls Below $0.27, Bulls on a Hiatus?
Cardano continues to close red after losing support at $0.3.
Investors are growing concerned, questioning Cardano’s ability to recover.
Cardano has yet to find footing after a swift 5% drop on August 15. The sudden blow has knocked ADA out of its range, leaving the token struggling to recover ground as it slides into the Bears’ territory.
Investors are now increasingly apprehensive, wondering if ADA will recover before the end of the next quarter.
Cardano Finds No Cushion
Cardano remains in the red zone after failing to hold the critical support level at $0.30. ADA Bulls appear to be on a hiatus as the Bears cruise comfortably into their territory, even passing through the Whales’ demand zone without much resistance.
While previously, the Whales intervened and pushed ADA back into the Bulls’ domain; their influence proved fleeting this time as the Bears guided Cardano under $0.27, marking a 13% drop over the past week.
Since losing $0.30, traders have lost over $9 million across long positions. Investor sentiment remains predominantly bearish across the board, and liquidity appears scarce until the $0.25 mark.
Given the Bears’ continued dominance over ADA and the prevailing bearish conditions in the market, Cardano’s price could tap its yearly low at $0.21 and stabilize within the $0.26 range, mirroring the price action after the SEC’s crackdown.
Considering current macro conditions, it’s unlikely Cardano will reclaim $0.3 any time soon. For the Bulls to reclaim control, Bitcoin has to rally above $30,000 to flip the current bearish outlook and allow altcoins to reclaim their lost valor.
At press time, Cardano exchanged hands at $0.26, with a trading volume exceeding $300 million, and Bitcoin, in contrast, traded at $28,000.
On the Flipside
Market dynamics can be unpredictable, so it is essential to consider alternative perspectives and opinions when evaluating the potential future performance of Cardano.
Santiment revealed a 52% decline in Daily Active Addresses when Cardano (ADA) slipped below $0.3 on August 3, leaving the network with 36,000 active wallets.
The recent crypto market downturn led to a rise in the percentage of Cardano holders experiencing losses, reaching 89%.
The recent market-wide altcoin crash wiped $12.8 billion from token market capitalization.
Why This Matters
Cardano’s underwhelming price performance this year has greatly hindered its plan to reclaim $1 before the end of the year. Investors and holders could potentially exit out of frustration unless the Bulls make a comeback before the end of the next quarter.