- Despite the Bulls’ valiant efforts, Cardano has struggled to hold above $0.3.
- The recent crypto market downturn has brought the Bears out of hibernation.
- The Bulls have limited time to reclaim control, or the Bears will dominate ADA for the rest of the year.
Cardano Bulls have valiantly defended the $0.3 mark since things in the broader crypto market took a tumultuous turn. However, with the Bears growing increasingly dominant, ADA has struggled to stay above support, leading to the Bulls relinquishing control.
Investors anxiously monitor Cardano’s next move, with the Bears in the driver’s seat. The question on everyone’s mind remains: Will the Bears drive ADA’s price lower, or will the Bulls rally and reclaim control?
ADA Stumbles
Since Cardano exploded through the $0.30 resistance following XRP’s landmark victory over the SEC, the Bears have persistently applied pressure on ADA to drive it below support. While the Bulls have valiantly defended the crucial price level, their tenacity started to waver every time the broader crypto market showed weakness, further fueling bearish momentum.
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On August 3, as Bitcoin struggled to hold the $29,000 mark, Cardano Bulls’ defense faltered, leading to ADA tumbling by 8% to the $0.295 mark, firmly into the Bears’ territory. The decline triggered panic among investors, leading to increased sell orders, which only allowed the Bears to grow more dominant.
The Bears’ triumph over the Bulls led to traders losing over $800,000 in long positions across ADA futures, according to CoinGlass. ADA’s long-to-short ratio remained negative at press time, signaling investors were selling instead of buying. This sentiment was also evident across exchanges, chains, and derivatives, which remained mostly bearish, according to IntotheBlock data.Â
As the battle for dominance over ADA’s price action continues, the community is on the edge of its seats, eagerly awaiting the next candle.
What to Look Out For?
Reclaiming the $0.30 support is most important for the Bulls over the next few weeks. With the Bears currently in control, they aim to drive ADA toward the next liquidity range at $0.25. If successful, Cardano could consolidate there for the rest of the year.
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However, if the Bulls regained control before the end of Q3 2022, they could propel ADA’s price beyond $0.35. The following weeks will be pivotal for Cardano as the battle between the two camps unfolds.
On the Flipside
- Market dynamics can be unpredictable, so it is essential to consider alternative perspectives and opinions when evaluating the potential future performance of Cardano.
- As a result of Bitcoin plummeting, Crypto markets saw staggering liquidation of $108 million worth of crypto assets.
- The recent crypto market downturn wiped out approximately $1.6 billion from crypto token market capitalization.
Why This Matters
Cardano is over 90% down from its all-time high, and many ADA holders are still in considerable losses. The competition between the Bulls and the Bears will ultimately decide the direction in which ADA moves.
More on Cardano:
Cardano Bulls’ Defense Falters As ADA Fumbles the $0.3 Mark – DailyCoin
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