Brace For Impact: This Expert Trader Says Cardano (ADA) Will See A 50% Decline
October 06 2022 - 1:00PM
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Cardano (ADA) has seen its price decline significantly over the
last year after hitting a new all-time high above $3. The digital
asset is down more than 86% from this all-time high value to be
sitting just above $0.4 at the time of this writing in what looks
like the digital asset has found its bottom. However, expert trader
Peter Brandt says that the worse is not yet over for the digital
asset, and more decline in price should be expected. ADA Will
Decline by 50% In true chartist fashion, analyst Peter Brandt took
to Twitter to post a chart that outlined important technical levels
for the digital asset. He points out that the digital asset was
forming what is known as a “classic descending triangle.” Brandt
outlines that this point to a possible decline for the digital
asset going forward. Related Reading: Regulatory Scrutiny Threatens
Ethereum’s Rise, Will It Succumb Under Pressure? According to
analysts, this could see the price of Cardano (ADA) actually fall
below $0.25. Now, given the current price of ADA, it would mean
that the digital asset’s price would have to mark another 50%
decline from this point. Furthermore, it would put ADA’s price at
more than 90% below its all-time high price. Not a surprising
figure, as cryptocurrencies have been known to lose more value in a
bear market. The $ADAUSD chart is a classic descending triangle per
Schabacker, Edwards and Magee and suggests a possible decline to
sub .25. Do charts always work? — not really, but when they do it
is a thing of beauty. Note — I do NOT short #8hitcoins
pic.twitter.com/HP6mEbChJq — Peter Brandt (@PeterLBrandt) October
5, 2022 Interestingly, though, Brandt added that he did not plan to
short the altcoin despite this price prediction. His reasoning for
this was that he did not short “shitcoins,” referring to the 8th
largest cryptocurrency by market cap as a shitcoin. ADA price
trending at $0.43 | Source: ADAUSD on TradingView.com Will Cardano
Follow This Prediction? In Peter Brandt’s analysis, he notes that
following the charts does not always work but that they sometimes
do. For investors, it would mean that they should prepare for the
worst-case scenario in case the forecast does prove to be accurate.
However, not everyone agreed with the analyst’s forecast for the
digital asset. Another Twitter user who goes by @eenmakkie took to
the replies to combat Brands’s analysis. They explain that while
ADA’s price going below $0.35 was a possibility, it would not be
possible to drop below $0.25 unless the price of bitcoin were to
break below $16,000. Related Reading: Bitcoin Shocker: Lightning
Network Capacity Reaches 5,000 BTC This is not a farfetched
prediction, given that altcoins tend to closely follow and mirror
the price movements of bitcoin. If bitcoin were to drop another
10-20% and fall below its previous cycle bottom of $17,600, then
the crypto market could be looking at more losses. Nevertheless,
ADA seems to have a strong hold above $0.4 at the moment despite
technical indicators all pointing to bearish performance for the
digital asset. But if it fails to hold the $0.42 support level,
then sub-$0.35 becomes a stronger possibility. Featured image from
Cardano Feed, chart from TradingView.com Follow Best Owie on
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