- Cardano’s price has not shown a tendency to rise recently, and part of this may be attributed to bear market conditions. However, there may be more details behind the story.
- In the past few months, Cardano, like many other cryptocurrencies, has experienced several price corrections. According to data, ADA’s price has dropped by more than 14% in the last 30 days.
- Benjamin Cowen mentioned the high probability of Cardano entering a depression period. This seemed likely because ADA was exhibiting similarities in price movement to what Bitcoin showed in 2019 before its last halving.
Benjamin Cowen, who says that the downward trend in Cardano resembles historical events, also mentioned a positive detail for ADA’s price.
Cardano Price Shows No Tendency to Rise
Cardano’s price has not shown a tendency to rise recently, and part of this may be attributed to bear market conditions. However, there may be more details behind the story because ADA was repeating a behavior it exhibited a few years ago.
Benjamin Cowen, the founder of Into The Cryptoverse, revealed an interesting development that reminded him of ADA’s price movement in 2019 before Bitcoin’s last halving.
In the past few months, Cardano, like many other cryptocurrencies, has experienced several price corrections. According to data, ADA’s price has dropped by more than 14% in the last 30 days. At the time of writing, it is trading at $0.2646 and has a market value of over $9 billion.
Interestingly, Benjamin Cowen mentioned the high probability of Cardano entering a depression period. This seemed likely because ADA was exhibiting similarities in price movement to what Bitcoin showed in 2019 before its last halving. The token’s price remained low in the second half of 2019.
Interestingly, immediately after the BTC halving on May 11, 2020, ADA’s price took off. Now, as the next halving of BTC approaches in 2024, history could repeat itself.
If this is the case, some recent developments in the Cardano ecosystem over the past few months can support the upcoming bull run.
For example, development activity on the blockchain remained high, and the Mithril mainnet upgrade was released a few weeks ago. Additionally, Input Output Global recently published their weekly development report, highlighting the efforts made by developers in the past seven days.
What are the short-term expectations?
Looking at Santiment’s chart, it can be seen that there is high whale activity around the token. Daily active addresses also remained relatively high, indicating a healthy network. However, the recent price correction pulled ADA’s MVRV Ratio down, which can be considered a bearish signal.
ADA’s daily chart showed that you should not expect significant volatility in the near future. Both the Relative Strength Index (RSI) and the Money Flow Index (MFI) remained below the neutral level, indicating a slow price movement.
However, the MACD showed a scenario where a bullish crossover is possible, which could change this situation. Additionally, Cardano’s Open Positions also decreased, increasing the likelihood of a trend reversal.
