• 29 May, 2024
News

Cardano Faces Potential Plunge Amidst Bitcoin Dominance, Warns Crypto Analyst

Cardano’s ADA seems to be entering a challenging phase, according to a recent market analysis by Benjamin Cowen. Cowen, a  trusted voice in the cryptocurrency market, suggests ADA’s value could plummet, especially when measured against Bitcoin (BTC).

His in-depth analysis of the price chart for ADA identifies a concerning trend in the Cardano market. After a crucial trend line was broken, ADA had a brief accumulation. However, this phase was temporary. As a result, there was a noticeable decline in support for the token. The value of ADA may drop by 50% at 890 satoshis and reach 400 satoshis.

Moreover, this prediction isn’t a new revelation; since March’s end, Cowen has been hinting at a potential ADA decline relative to Bitcoin. He sees a possible reversion to trends seen in 2019’s third quarter.

However, Cowen’s bleak forecast isn’t just limited to ADA since he anticipates a rough period for the broader crypto market, especially altcoins, lasting until the summer of 2024. Besides, he attributes this bearish outlook to a liquidity drain from global financial markets, encompassing cryptocurrencies. Cardano’s price today is $0.251501, down 0.26% in the last 24 hours, as per CoinMarketCap data.

As a result, the public’s perception of altcoins may stay neutral. However, a bright spot appears if the US Federal Reserve implements a quantitative easing (QE) plan, and optimism can be aroused. Such a shift might pave the way for a potential market rebound.

While investors may need to proceed cautiously, they must carefully monitor market developments. The cryptocurrency market is as volatile as any other financial market. The future of ADA is unclear. Therefore, investors must keep informed, evaluate potential threats, and plan accordingly.

Investor Optimism Rises as SHIB Displays Bullish Signals Read Previous

Investor Optimism Rises as SHIB Displays Bullish Signals

Is Ripple Gearing Up for a Public Debut? Job Listing Indicates Possibility Read Next

Is Ripple Gearing Up for a Public Debut? Job Listing Indicates Possibility