Potential Bounce Points *if* ADA enters an extended downtrend
Cardano is flying high above it's macro cycle line. Not unusual considering we're on the incline of the multi-year cycle.
The idea here is that *IF* Cardano enters an extended downtrend the price drop will look scary.
BUT, if you look back at how much it has moved before, it is not uncommon for retracements of 50%-100% after swings.
So if we are to go by the history of how price retracements have repeatedly behaved, a move down to any price between ~0.30 - 0.60 would not be uncommon.
It's just the nominal price that looks scary.
The idea here is that *IF* Cardano enters an extended downtrend the price drop will look scary.
BUT, if you look back at how much it has moved before, it is not uncommon for retracements of 50%-100% after swings.
So if we are to go by the history of how price retracements have repeatedly behaved, a move down to any price between ~0.30 - 0.60 would not be uncommon.
It's just the nominal price that looks scary.
Comment:
Here "extended downtrend means crossing over the green 0.5 retracement line as opposed to price movement that indicates it as a support/bouncing position. Best to observe the trend as it happens.