Cardano, in the past couple of days, appears to have lost the grip. As after consolidating heavily around $2, the ADA price slashed below. Despite the trader’s grabbing the asset at a discounted price, a slight rise is resulting in an extreme drain. And hence the rally seems to have chosen an opposite pace where-in a deep dive looks pretty possible.
September is always considered as a drowning month in history and October to be pretty green. However, ADA price failed to follow the bullish momentum which was led by most of the altcoins soon after Bitcoin price smashed a new ATH. The analysis points out towards lower levels may be revisited this week. However, discovering new levels is still not out of the probabilities.
The ADA price recently broke down the strong support levels around $2 and failed to regain the lost positions. With each attempt to climb above $2, the asset revisits lower levels in a row. With a strong tussle among the bulls and the bears, the daily open and close have not much difference between them. Yet, the current trend appears to be a healthy accumulation as Cardano is sitting calmly before a huge storm.
This Is When Cardano (ADA) Price Could Flip The Bears
While the other altcoins spent October recovering from the September downtrend, Cardano remained considerably stagnant. And with the start of the new trading month, the asset dropped below the crucial levels. However, by maintaining above one of the important support levels, the asset keeps the hopes of a rebound or a flip alive. Once the asset flips, then the ATH could be notably on the horizon.
But, in order to march towards the ATH, the ADA price needs to test some crucial levels and also requires the bulls to back the asset at the maximum. The asset could consolidate a few more days more before breaking through the descending triangle. Once the ADA price breaks through the pattern, another round of consolidation around $2.15 to $2.2 may haunt the bull rally.
Post the healthy accumulation, the ADA price may retest the upper levels in no time to propel high towards the ATH. However, it also appears that the new ATH for Cardano may also be a little time-consuming. Nevertheless, the merger from PoW to PoS may assist the price to march high.