After breaking below a historical support level, the price of ADA against Bitcoin could drop another 25% in the coming months.
Cardano (ADA) prices have not reacted positively every time in the last few years after Charles Hoskinson mentioned something negative about Bitcoin
ADA price is down 75% since Hoskinson criticized BTC
In particular, the ADA/BTC trading pair is down 75% almost two years after Hoskinson questioned Bitcoin's survivability.
The ADA/BTC pair has plunged almost 94% compared to its all-time high in January 2018.
Is ADA finally bottoming against BTC?
The provisional technical setup of ADA against BTC seems skewed towards the bulls.
Notably, the ADA/BTC pair is trading within what appears to be a falling wedge setup, which traditional analysts consider a bullish reversal pattern. As a rule, a falling wedge setup resolves when the price decisively breaks above its upper trendline and rises as high as the wedge’s maximum height.
Applying the same principle to the ADA/BTC chart, the target of the falling wedge is located around 694 satoshis if the breakout point occurs where the pattern’s trendlines converge. In other words, the pair could rise by approximately 25% by the end of 2024.
Notably, the pair has fallen below its long-standing ascending trendline support in May 2024 – just after Hoskinson’s comment that “the industry no longer needs Bitcoin” – and has continued to decline since.
If it continues to fall, ADA could test the 1.0 Fibonacci retracement level around 413 satoshis as the next bearish target in 2025, which would be a decline of around 25% from current prices.
Follow me, give it a like
