The recent crypto market crash, triggered by the decline in Bitcoin, has left many altcoins, including Cardano (ADA), reeling. However, amidst the chaos, some see this as an opportunity to purchase the cryptocurrency at a discount. One such individual is crypto analyst Alan Santana, who has provided a bullish analysis of the ADA price despite the current downturn.
Santana’s analysis, shared on TradingView, emphasizes the importance of viewing investments in altcoins like Cardano from a long-term perspective rather than a short-term one. While the current market correction has caused the ADA price to plummet, Santana remains optimistic about its future prospects. He points out that Cardano is a solid project with promising developments on the horizon, making it a strategic investment at this point.
According to Santana, the ADA price has breached its support at the 0.786 Fibonacci retracement level, signaling a bearish trend in the short term. This could potentially drive the price down to its long-term support level of $0.25, last seen in January and October 2023. However, Santana views this as an opportunity to accumulate ADA coins for long-term gains, as the current dip presents a favorable entry point for investors.
With Cardano’s price plummeting below $0.29, it is now down nearly 91% from its all-time high of $3.1 in September 2021. In order to reach a new peak, the altcoin would need to experience a 10x increase in value. Despite this daunting challenge, Santana remains optimistic about the potential for significant upside, making the current market conditions a unique buying opportunity.
Santana anticipates that ADA will find support at $0.25 before staging a rebound towards the $0.65 mark, representing a 150% surge from its historical low. His technical analysis aligns with that of fellow analyst Captain Fabik, who predicts a 70% rally for Cardano based on a Falling Wedge Breakout pattern on the chart. However, not all analysts share this optimistic outlook.
While Santana and Fabik project a bullish future for Cardano, other analysts like Crypto Bullet are more cautious. Crypto Bullet believes that ADA may underperform in the current bull market and is skeptical about the altcoin’s ability to reach a new all-time high in this cycle. This diversity of opinions underscores the complexity and volatility of the crypto market.
The future of Cardano hangs in the balance, with analysts divided on its prospects. While some foresee significant growth and recovery for ADA, others caution against overly optimistic expectations. As investors navigate the turbulent waters of the crypto market, it is crucial to conduct thorough research and consider a variety of perspectives before making investment decisions.