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Cardano price sees its bottom price being under fire

  • Cardano price action 7% meltdown as cable rattles the markets.
  • ADA price sees confusion on BoE intervention triggering broad selloff and exit of investors.
  • The pressure on the downside mounts as the bearish triangle keeps playing its role.

Cardano (ADA) price action is being blacklisted by investors after again a bad performance this week with all gains of October being erased and replaced by multiple percentage losses. Risk to the downside is more than ever building as yet again price action got underpinned at $0.384. It is a question of time when that level will break as the geopolitics and current market dynamics are not set to change anytime soon.

ADA price not questioning if, but when the bottom will break

Cardano price action slips over 7% in just two trading days and in the process not only printing the worst performance for this month but as well eraring all incurred gains for this month. A huge setback for investors and traders that must be getting frustrated with these squeezes. ALthough, the warning signs could not be more clear with the several tests and rejections on that descending trend line. 

ADA price thus currently gets underpinned and bounces off $0.384 for a second time this year. Expect a bounce back to the red descending trend line and the next rejection could be another big one doing its job and breaking through the low of $0.384. Another 8% decline is then forecasted with $0.36 as next price tag to eb reached in its continuing decline. 

ADA/USD Daily chart

ADA/USD Daily chart

It would be a stretch, but a full recovery could happen, should for example the BoE step up its game and get back in the market to support the bond market supply. That would be welcomed with a sigh of relief from the markets and see a risk on rally throughout the several asset classes from the financial markets. Cryptocurrencies would be set to boom with a 10% jump. Depending on the catalyst and change in the markets, a double top at $0.427 could be in the cards.

Author

Filip Lagaart

Filip Lagaart is a former sales/trader with over 15 years of financial markets expertise under its belt.

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