Why the Cardano price continues to deviate from the rest of the market

Cardano price shows reason to believe in further decline. If the sell-off occurs, there may be a knife-catching opportunity in the $0.35 region.

Cardano price deviation continues.

Cardano price currently trades at $0.43 as an ongoing consolidation ensues post-rebound from the double bottom established on July 13 at $0.4019. It was mentioned in last week's bearish thesis that Cardano price would continue to deviate from the overall market as the ADA price witnessed declines  throughout June and July without any chance to recoup losses.

Cardano price will likely sweep the lows at $0.40 and break into the $0.34 barrier long anticipated here at FX street. It is possible that a newfound low could be the shakeout Wyckoff analysts are looking for to mark a significant bottom. Traders who partook in last week’s bearish trade setup have witnessed a 15% decline and may want to trail safety-stops as liquidity hunts are likely 

Based on the macro technicals and for the safety of our readers, this thesis will remain bearish until a breach of  $0.76 occurs. 

ADA/USDT 1-Day Chart

However, that does not mean we will not forecast countertrend moves for intraday traders. The widespread between invalidation and the bearish target leaves a surplus of space for smart money to operate in. Traders should keep their eye on the alternative smart contract token as an opportunity to catch a short-term knife could present itself in the $0.31 -0.36 zone. Targets would lie in the mid $0.69 zone.

Investors on the other hand should probably avoid engagement with the ADA price until the macro invalidation level is breached. Remember that a breach of the bearish thesis at $0.71 could set up a rally towards $2.00, resulting in a 350% increase from the current ADA price.