According to well-known cryptocurrency researcher Benjamin Cowen, there is a “real risk” that Cardano (ADA) might decline much more.
In a recent YouTube video, Cowen informs his 778,000 subscribers that the bear-market resistance band of ADA’s competitor Ethereum (ETH) continues to act as resistance, which ADA is rejected from.
Cardano, according to the analyst, has not yet fallen as low as it did during the first bear market.
“The point that I’m trying to make here is that Ethereum in its first cycle, in its first major bear market, dropped around 95%, right? But ADA in its first bear market dropped almost 99%, right? It was like 98.75%. If ADA, say, does have diminishing losses or something in this bear market, and say instead of dropping 98%, you know let’s say it’s one cycle behind Ethereum, let’s suppose it drops 94% or 95%.
A 95% drop from the all-time high would put ADA between 10 and 20 cents, right? That’s where it would ultimately put it.”
Sometime in 2023, according to Cowen, ADA might form a bottom between $0.10 and $0.20.
As of this writing, Cardano is trading for $0.31. The ninth-ranked cryptocurrency by market cap has increased by more than 4% over the last day. It is still over 90% below the $3.09 all-time high that it reached in September 2021.
