While the entire crypto market fell on 19 August, the price of Cardano also suffered as the currency fell 23% from its August 2022 peak.
At the moment, Cardano is still trying to free itself from the selling pressure created last week. Cardano’s ADA is currently changing hands at $0.450, after a drop of 2.68% over the past 24 hours.
In May 2022, just before the crash, Cardano was trading between $0.4 and $0.6 per ADA. Furthermore, it should be noted that Cardano has dropped to its lowest level twice in the past 90 days.
The first drop occurred in May, the start of a bearish market, where Cardano fell to $0.4 and the second in mid-July. However, just a few weeks later, ADA regained the bull run and managed to reach the upper target of the $0.6 range.
Therefore, it is observed that whenever Cardano hits the bottom of $0.4, there is a trend reversal in the asset and an increase of 50%.
Will Cardano price drop below $0.4?
The trend reversal might sound interesting and give an idea for investing now around the $0.4 area, but there are two factors to consider.
The first and foremost factor to consider is the FUD-push testnet issues as well as the continuing delay of the Vasil hard fork of the asset. The second reason revolves around technicalities as the current $0.44 local level is not confirmed. On the other hand, if the Vasil hard fork is further delayed and there is more bearish control over the crypto market, the price of ADA could rise above $0.4.
According to reports, Adam Dean, a developer for the Cardano network, has revealed that there is a problem with Cardano node v.1.35.2 and other nodes as well. This came after it was discovered that 1.35.2 may not be compatible with the initial series.
Therefore, it is important to follow any updates regarding the Vasil hard fork and market sentiments.