|

Cardano price set to tank 10% as social media war between Reddit user, ADA founder develops

  • Cardano price tanks as founder Hoskinson is accused of alt-right participation.
  • ADA is set to tank near 10% with no real support nearby.
  • This online war could prove to be an even more negative factor for Cardano price action.

Cardano (ADA) price is tanking after a riot broke out online between an anonymous Reddit user known as Demesisx and the founder of Cardano, Charles Hoskinson. Hoskinson got called out in an open letter on Reddit for fraternizing with alt-right individuals such as Jordan Peterson and Elon Musk. It did not take long for Hoskinson to respond with his own public letter, which could turn the debate into a tit-for-tat war on social media with negative repercussions for Cardano.

Cardano price tanks due to Reddit fight

Cardano price is responding to the negative PR from Reddit user Demesisx, who ended his open letter by calling himself “the huge Cardano fanboi that has had enough.” In the open letter, Demesisx calls out the founder of the alt-coin for having alt-right sympathies. Hoskinson responded by pushing back against every accusation, though it is questionable whether this kind of PR gimmick will work for him.

ADA reflected that negativity by falling close to 2% in just two trading days. As bears are able to move the needle away from the 55-day Simple Moving Average, the next support can only be found near $0.32. That level is crucial to hold as it was the first real support level that triggered a bounce in the uptrend since January 1.

ADA/USD daily chart

ADA/USD daily chart

The story falls into the gallery of other social media moments – like when Kylie Jenner single-handedly evaporated millions of stock value in Snapchat after issuing a single tweet questioning its existence. Snapchat is still around though, and so Cardano will be, even after this social media war has ended between Hoskinson and Demesisx. Expect ADA to push higher once the storm fades into the background with Cardano price breaking through $0.42.

Author

Filip Lagaart

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

More from Filip Lagaart
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

XRP steadies above $1.90 support as fund inflows and retail demand rise

Ripple (XRP) is stable above support at $1.90 at the time of writing on Monday, after several attempts to break above the $2.00 hurdle failed to materialize last week. Meanwhile, institutional interest in the cross-border remittance token has remained steady.

Cardano struggles to extend gains as retail interest wanes despite Midnight's NIGHT token launch

Cardano ticks higher after a bearish weekend, struggling to extend an upcycle within a descending wedge pattern. On-chain data shows an increase in trading volume and user activity after the Midnight side chain token launch.

Crypto Today: Bitcoin, Ethereum recover as XRP remains supported by ETF inflows

Bitcoin is trending up toward the pivotal $90,000 level at the time of writing on Monday, which marks four consecutive days of gains. Altcoins, including Ethereum and Ripple, are also rebounding above key short-term support levels.

Bitcoin nears $90,000 as recovery hopes clash with institutional outflows

Bitcoin is approaching the $90,000 resistance level at the time of writing on Monday, raising hopes of a short-term recovery. However, the bullish recovery is being challenged by weakening institutional demand, as evidenced by outflows from Spot ETFs.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.