Cardano’s ADA faces significant losses if it fails to reclaim the $0.40 support level, potentially affecting $3 billion worth of investor profits as the altcoin struggles amid bearish market conditions.
Points
- ADA price faces potential losses if it fails to reclaim $0.40 support.
- Nearly $3.3 billion worth of ADA could become loss-bearing if the price drops further.
- Only 3% of active ADA addresses are currently in profit.
- Investor resilience could help ADA recover, but failure to hold $0.36 support may lead to further declines.
Cardano’s ADA is at a critical juncture, with nearly $3.3 billion worth of investor profits at risk if the altcoin fails to reclaim the crucial support level of $0.40. The ADAUSDT price has experienced a volatile ride since the early June crash, with the general trend remaining bearish.
The Global In/Out of the Money （GIOM） indicator shows that 3.7 billion ADA, worth about $1.4 billion, recently turned loss-bearing after the price fell through the $0.39-$0.41 range. Another 5 billion ADA, worth $1.9 billion, is on the verge of witnessing similar losses, having been bought at $0.36-$0.39. Currently trading at $0.38, Cardano’s price is close to losing the $0.36 support level, which would result in significant losses for investors.
Active addresses by profitability indicate that less than 3% of all active ADA addresses are currently in profit, dominating participation beyond 25%. This bearish sign suggests that many investors are holding off on selling to avoid realizing losses. However, their resilience could help ADA recover if the price bounces back.
For ADA to regain upward momentum, it needs to reclaim the $0.40 support level. Failure to do so may lead to a drop to $0.34, further exacerbating investor losses. The next critical support for ADA is at $0.37, which has already been tested in the past. If investors’ conviction helps ADA bounce back, the recovery target is to reclaim the $0.40 support level, pushing the altcoin further upward and aiding in recovering its losses.
解説
- Cardano’s ADA faces significant risks if it fails to reclaim the $0.40 support level, potentially affecting $3 billion worth of investor profits.
- The GIOM indicator highlights the critical support and resistance levels, providing valuable insights into market sentiment and potential price movements.
- Monitoring active addresses by profitability can offer clues about investor behavior and the likelihood of selling pressure or resilience.
- Reclaiming the $0.40 support level is crucial for ADA’s recovery, while failure to hold $0.36 could lead to further declines and increased losses.
- Understanding the technical indicators and market dynamics can help investors make informed decisions about their ADA holdings and navigate the volatile crypto market.