The crypto crash did not spare any cryptocurrency. All cryptos (except for stabelcoins) are down by an aggregate level of more than 12% in the past 24 hours. Cardano was trying to recover from the heavy crash, but the current market does not allow any sane analysis of the fundamentals. If the market continues to crash, it might be a better idea to sell Cardano and catch it later at lower prices. When to sell Cardano? What’s happening to Cardano price down? Here’s a quick analysis.
Cardano prices FAIL to recover
Many investors expected Cardano prices to recover. If we look at the technical price-action of ADA in figure 1, we can see how prices retraced from the low price of $0.45. However, when prices reached the resistance area of $0.65, prices retraced lower. This brief consolidation happened to most cryptocurrencies, where day traders managed to make the most out of this price-action.
Usually, consolidations are a good thing, as they allow prices to consolidate stronger. Most of the time, prices reverse their trend during consolidations. However, if the buyers in the market remain wary and do not enter the market, prices are most definitely going to continue on their downtrend. This is exactly what happened to Cardano, as prices retraced from the strong resistance price of $0.65.
When to Sell Cardano?
Cardano just reached its strong support area delimited by a price of $0.40 and $0.45. This is a very risky area. If the crypto market continues to crash, Cardano prices are most likely to break this area lower. In turn, Cardano price should reach the next psychological price of $0.35, then reach the next one at $0.30.
If you did not sell your ADA tokens now, you should consider doing so anywhere below 0.40 as prices will be heavily discounted. Selling is not a sign that the project is good or bad, it just says that there are more sellers than buyers. With the current market dynamics, it has to do with panic selling mostly.
