- Cardano’s price is down 85% from all-time highs.
- ADA price hovers over a key Fibonacci Retracement level.
- Cardano has extreme cushion space to fall without invalidating the macro count.
Cardano price is on every crypto reader’s mind. While the self-proclaimed Ethereum killer token is down 85% from current all-time highs at $3.04, ADA still shows reasons to approach investing in a future bull run cautiously.
Cardano price has room to fall
Cardano’s price currently trades at $0.44 as the bears have successfully suppressed the smart contract token within a range for most of the summer. The bears were able to fake breakout bulls during May near $0.79, which caused a 40% drop into the current congestive zone.
Nonetheless, when you zoom in and observe the macro technicals, there is no denying that the Cardano price will be around for years to come. ADA accomplished three separate impulsive bull runs in March of 2020. A supercycle impulse wave can easily be drawn up using the three sets of impulse waves. A Fibonacci retracement tool surrounding the entirety of the supercycle wave suggests the current decline is merely a 38.2% correction.
Based on Elliott Wave and Fibonacci projections, Cardano’s price could easily target $7 one day, which would be a 1700% increase from ADA’s current market value. However, the shallow transactions occurring during the current congestive zone and the severe uptick that enabled the sell-off in May suggests the bears could continue sending ADA lower in the short term.
It appears that the Cardano bottom will be very hard to call. If the bulls cannot prompt an immediate spike above $0.60, then the bears could activate more liquidations targeting FIB levels at $0.23 and even $0.12. Such a move would result in an additional 80% decline from the current ADA price.
Investors should highly consider a dollar cost average approach for dealing with the current Cardano price until more evidence suggests otherwise.