Capo, a pseudonymous analyst and crypto trader, tweets that Cardano’s (ADA) downwards trend is inevitable.
Popular crypto trader, with more than 307,500 Twitter followers predicted that the coin would plunge after its downward five-waved trajectory following Elliott Wave Theory.
Elliott Wave Theory refers to technical analysis which can forecast price action by studying mind psychology, crowd behavior and other factors that are visible in waves.
The theory holds that the crypto asset will always experience a five-wave predictive cycle, before reaching a pivot point or reversal.
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Capo predicts that the coin will crash in its fifth wave downwards course before it reaches its current level (Coingape).
Capo Predictions On ADA and BTC Terra and STEPN
According to Capo, ADA is on its way to completing the fourth wave which means it’s ready for that final wave.
Cardano currently trades at $0.55, which is categorically 45 percent above its target price of $0.30.
The cryptocurrencies rebounded quite a bit Friday, but fell today. This seemed to have been a rollercoaster ride.
For many investors and crypto traders, the erratic market movements have been troubling. Bitcoin (BTC), has dropped 3.6% while Cardano (ADA), went down 6.65%.
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With the Federal Reserve pulling a tight rein on monetary policy, there isn’t a hint of a bullish trend. With things going the way they are, traders look for more secure crypto assets than riskier ones.
Capo also keeps an eye on STEPN (a move-to earn app built on Solana’s blockchain). Capo claims that the trading price of 0.60 is a significant drop. As he says, GMT seems to be heading towards the basement. GMT currently trades at $1.52
Source: TradingView.com| Source: TradingView.com
Bitcoin Still Better Than Cardano?
The outlook for Bitcoin is positive as the cryptocurrency continues to improve after it crossed over key support at $30,000. It was apparently jarred by the $30,000 support. The support zone is currently being tapped by a two-day candle that closed just below it. This spot is not yet a good place to buy.
TerraUSD is currently pegged at USD. This adds insult to injury. It’s now priced at $0.18 this week. TerraUSD is currently preparing a recovery plan.
Cardano, while more volatile than Bitcoin overall, is still very popular in the wider market.
Bitcoin offers more potential to become bullish over time than any other coin, including ADA.
Featured Image from Forkast News. Chart from TradingView.com