The Cardano price with the latest drop has reached the lowest, never been seen since January 2021. The well-known Ethereum killer has dropped more than 87% since its high and more than 70% since the 2022 ATH. The ADA price has tanked below the crucial descending triangle, certifying the resurgence of a strong bearish trend.
How well will the ADA price survive the bear market? Is it time to add more ADA to your collection?
Recently, the FOMC MoM revealed that they are determined to adopt and maintain more restrictive policies in order to lower the rising inflation rates. Hence, the possibility of increasing the rates which may be bearish for the ADA price & the entire crypto space as well.
Presently, Cardano has lost support and hence is believed to drop heavily, pulling the last leg of the bear market, as advised by a popular analyst.
However, Dan Gambardello, also believes that the bearish clouds may soon clear and Cardano may thrive in the upcoming bull market. However, the ADA whales holding 1M to 10M, have slashed the holdings heavily which may further impact the volatility of the price. On the other hand, the Sharpe ratio which signals the risk ratio with the investment has slumped hard to -6.24.
The ratio within the negative regions clearly indicates either investing in ADA may be risky or the investment may incur losses. Therefore, until the market sentiments do not ease a bit, the ratio may remain below 0. Further, with a bullish push, the Cardano (ADA) price may be elevated with a jump in the Sharpe ratio to the positive ranges.
Was this writing helpful?