Like other altcoins in the space, Cardano price has suffered massive losses in recent months. This brutal sell-off has pushed the ADA price so low that it is now at levels not seen since the last bear market. Even now, Cardano remains at risk of further decline, as crypto analyst Lingrid explains in a recent analysis.
Why Cardano could crash further
The biggest problem facing Cardano price now is that the bulls have failed to regain control on a number of occasions of the bears. With each failure, the bears’ hold becomes stronger, raising the possibility of a bearish continuation.
Related reading
In the analysis, crypto analyst Lingrid says revealed that Cardano remains below the consolidation support at $0.26. As a result, the cryptocurrency has now started moving under its previous structure. At the same time, the price is also below the falling resistance, showing a lot of weakness.
Despite the recent recovery, the fact that the altcoin price eventually went back down proved that bears are still in control of the market. The downside to this is that bearish continuation from here is likely to happen, especially since the price has also been rejected at $0.26, and the price could crash further. The only way this move will become void is if the Cardano price is successfully recovered and rises back above $0.27.
6 months red
With the red ending of the month of February, Cardano marked five consecutive matches closes red for monthsThis makes it the third time in history that this has happened, according to data from CryptoRank. The first time was in 2021-2022, when the bear market had begun, and that year Cardano recorded another five consecutive months of red closes.
Related reading
While the last time ended with a big increase in the sixth month, the The Cardano price has already fallen by more than 11% in March, which indicates that the red trend could continue. Now, in 2021-2022, it was the first time in history that the digital asset saw six red monthly candles, and what followed was interesting.
After the sixth red month in February 2022, Cardano price started to rise and eventually ended the following month with an 18% gain. After this, however, the bleeding continued and Cardano fell further. If this trend were to repeat, the cryptocurrency could see a relief after its sixth month of red. But this would not mean the end of decline, but rather a harbinger of even more decline.
Featured image of Dall.E, chart from TradingView.com