Market Overview
The cryptocurrency market has seen a significant correction at the start of December, with Cardano (ADA) being one of the hardest hit, dropping by 8% in a day. However, despite this downturn, a key indicator suggests that now might be a good time to buy.
Price and Market Capitalization
Cardano’s price has fallen below $0.40, marking a 60% decline from its mid‑September peak. Its market capitalization has also dropped below $15 billion.
Analyst Opinions
Buy Signals
Analysts like Ali Martinez and Marcus Cornivus see potential for a rebound. Martinez notes a buy signal from the TD Sequential indicator, while Cornivus identifies the $0.38‑$0.40 range as a crucial demand zone. If this level holds, he expects a potential breakout towards $0.82‑$0.85.
Optimistic Outlook
Another analyst, Smith, remains optimistic about Cardano, believing it has the potential to reach above $3. The Relative Strength Index (RSI) is currently below 30, indicating that ADA is oversold and could be due for a recovery.
On‑Chain Data
Data from CoinGlass shows that outflows from exchanges have surpassed inflows, suggesting that investors are moving their ADA to self‑custody, reducing selling pressure.
Conclusion
While Cardano has experienced a significant drop, key indicators and analyst opinions suggest that this could be a buying opportunity. However, as always, investors should conduct their own research before making any investment decisions.
