- Cardano price is currently hovering below a freshly shattered 6-hour demand zone, ranging from $1.68 to $1.79.
- This resulting crash could extend to the immediate and critical foothold at $1.40.
- A breakdown of this barrier will provide market makers an opportunity to crash ADA to $1 and lower.
Cardano price seems to be continuing its downtrend without any signs of a let up. ADA has sliced through a wide area of support, hinting at a massive crash, however, this bearish outlook is contingent on one more key foothold giving way.
Cardano price looks ready for further downfall
Cardano price has dropped 12% so far today, November 26, and more weakness is likely if the cryptocurrency markets continue to tumble. For the so-called “Ethereum killer,” the crash and its extent are dependent on whether the stable $1.40 support level can hold or not.
In the past, this level provided a ceiling of resistance when ADA was consolidating beneath. Its breach led to the start of an ascent that propelled Cardano price to an all-time high of $3.11. The $1.8 support level also played an equally important role in helping ADA scale higher. The recent crash has pushed ADA below it, leaving $1.40 to defend the onslaught on panic sellers.
If the selling pressure continues to increase, investors can expect ADA to slice through $1.40. A daily close below this level will trigger a 24% descent to between $0.94 and the $1.04 demand zone. In total, this crash would represent a 35% loss from the altcoin’s current position at $1.53.
ADA/USDT 1-day chart
If Cardano price manages to stay above $1.40, there is a high chance buyers might cauterize the bleed and push ADA up by 20% to retest the 6-hour demand zone, extending from $1.68 to $1.79.
A daily close above $1.79 will signal the potential start of a new uptrend, however, a higher high above $2 will invalidate the bearish thesis for ADA and suggest more gains on the horizon.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.