A top technical analyst has identified a significant buy zone where Cardano could rebound from if its price trends lower.
Market technician Ali Martinez highlighted the zone where Cardano could find support if it faces further downward pressure, noting it would serve as a major entry point. The analysis comes despite a slight price rebound for ADA, which has seen it recover by nearly 2% in the past 24 hours.
Cardano Buy Zone if Prices Fall
The crypto market has seen mixed reactions lately, as the sector’s leader, Bitcoin, fluctuates. Cardano has been caught up in this price uncertainty, consolidating around $0.65.
The unclear price action means Cardano could go either direction. If it does go lower, the market analyst has identified the level where market enthusiasts could be looking to buy into the cryptocurrency or open bullish positions.
In his X post on Thursday, he mentioned that $0.54 could be the buy zone for Cardano. Notably, it aligns with the lower support level in a parallel price channel on the ADA 12-hour chart.
Cardano fell below the channel’s midpoint support at $0.79 following the flash crash on Oct. 10 and has since failed to reclaim that level. A lower high at $0.73 in mid-October was met with severe price rejection, sending ADA lower to its current price.
Further price weakness could see ADA dump further to the $0.54 support before any notable rebound. The possible drop to the buy zone represents a 17% dip from here.
Interestingly, a recent analysis expects Cardano’s price to fall even further. Specifically, Behdark predicted the coin could dump to $0.127, citing the completion of Wave C of an ABC price correction.
Cardano Rebound to $1.90 Still Possible
Nonetheless, Cardano could still target higher prices. Martinez shared in a parallel analysis that holding the $0.62 price mark would set the tone for the impulsive move.
Notably, the price level is around the lower trendline in a developing symmetrical triangle. ADA trends around the crucial support of this multi-month structure and holding above it could provide the required momentum to break upwards.
He predicted an upsurge to $1.90 if the level holds, which would culminate in a 195% price uptick. Notably, this entails a breakout of the symmetrical triangle to the 1.272 Fibonacci extension on the accompanying chart.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
