Cardano's Charles Hoskinson says US wants to kill crypto as ADA price teeters on a 20% drop

  • Cardano price is breaking out of a symmetrical triangle, hinting at a steep correction.
  • A breakdown of the $1.90 support level will knock ADA down to the $1.70 barrier.
  • Charles Hoskinson says the US treasury is doing everything in its power to kill cryptocurrencies.

Cardano price is currently facing a challenging situation where a breakdown of a crucial support floor could lead to a steep correction. Therefore, investors need to keep an eye out for ADA, which is close to triggering this descent.

Cardano founder calls out the US regulators

Cardano founder Charles Hoskinson spoke about the current state of the cryptocurrency market and how it lacks regulation during his event in South Africa. Hoskinson added that the watchdogs have been closely monitoring the rapidly growing space and are trying to “kill” it.

With the rise in interest, scammers and money launderers have also increased quickly, pushing lawmakers to impose restrictions on these markets. Moreover, some countries are taking a much harsher stance by banning mining and cryptocurrencies altogether. Others, however, are regulating the space.

Hoskinson noted,

In DC, the Treasury Department does everything in its power to try to kill our industry…  $2 trillion industry just pops up in our backyard, and my government’s trying to kill it.

While Ripple and XRP have been stuck in a legal scuffle with the SEC, other projects are taking a step back due to the regulatory uncertainty. Despite the safe zone that Cardano is enjoying, ADA price seems to be facing a blockade and hints at a bearish outlook.

ADA price hangs by a thread

ADA price set up three distinctive lower highs and higher lows since September 18, signaling congestion. Connecting these points using trend lines reveals the formation of a symmetrical triangle.

This technical formation has no inherent bias but forecasts a 19% breakout, determined by adding the distance between the first swing high and low to the breakout point.

In this case, Cardano price seems to be venturing lower. A decisive close below the lower trend line at $2.12 will indicate the start of a downswing. 

In such a case, ADA will head lower to retest the intended target at $1.69. However, this descent will not be a cakewalk as the $1.91 and $1.73 support floors will be present to absorb the selling pressure.

ADA/USDT 9-hour chart

ADA/USDT 9-hour chart

On the other hand, if the current dip below the lower trend line of the symmetrical triangle is a fakeout. Investors can expect Cardano price to make a run at the upper trend line. A decisive close here, $2.26, will indicate a potential start of an upswing.

In such a case, the theoretical target rests at $2.70 after the bulls slice through the $2.58 hurdle.


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.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

Bank of America bullish comments on metaverse push Axie Infinity and Sandbox closer to breakout

Bank of America's strategist made bullish remarks about the metaverse, triggering a spike in interest in Axie Infinity and Sandbox tokens. The rices of the two metaverse tokens continue climbing with increased interest from investors. 

More Axie Infinity News

Polkadot price ready to breakout after DOT forms double bottom

Polkadot price began turning around and moving higher on November 28. It is currently resting on support after a brief pull-back, with the potential for using this floor as a launchpad higher. A resumption of the bullish impulse will provide fresh confirmation for the new uptrend.

More Polkadot News

Bitcoin Weekly Forecast: The bull and the bear case for BTC

Bitcoin price saw a recent bullish impulse that faced massive headwinds before it tagged a crucial psychological barrier. With directional bias and choppy price action, BTC is likely to experience massive volatility as the situation resolves over time. 

More Bitcoin News

Berkshire Hathaway’s Charlie Munger wants US to ban cryptos like China

Charlie Munger considers cryptocurrencies bad for people and backs China on its cryptocurrency ban.In his previous interviews, Munger has shed light on the concept of “speculative excess” and “asymmetry of wealth.” 

More Cryptocurrencies News

Cyber Monday 2021 Discounts!

Glued to your trading screen on Cyber Monday? Upgrade your skills by signing up for FXStreet’s Premium service, offered at a discount of up to 50%. Fellow traders have already taken advantage of Black Friday profits. What about you? 

Subscribe now!