ADA May Still Be at Risk of Falling to Below $0.20, Warns Analyst

• Dan Gambardello predicted that ADA’s underperformance may come to an end in the next few weeks.
• The analyst warned that ADA’s price could drop to below $0.20 if it does not break above the 20-week and 50-week EMAs.
• ADA’s price stood at $0.3017 after it dropped 0.66% over the past 24 hours.

The cryptocurrency trader and analyst Dan Gambardello predicted in his latest analysis that Cardano (ADA) holders’ pain could be coming to an end, especially from a macro perspective. Although the end of ADA’s underperformance over the past few months may soon reach its end, the analyst did caution that one last potential move to below $0.20 may be in the cards.

Gambardello mentioned that ADA’s short-term prospects remain gloomy. However, from a longer-term perspective, the altcoin’s charts suggested that the cryptocurrency still had a vast amount of potential to print gains for value investors, according to the analyst.

One event that Gambardello speculated will initiate the bullish reversal for ADA is the Bitcoin (BTC) halving, which he noted was 260 days away. After this significant event, the analyst forecasted that BTC’s dominance in the market will begin to drop. This may then give altcoins, including ADA, an opportunity for their prices to rise.

Despite the long-term bullish outlook for the Ethereum-killer, Gambardello warned that one last drop below $0.20 in the coming weeks could still take place in the upcoming couple of weeks. He referenced ADA’s price performance in the 260 days leading up to the previous BTC halving event in his bearish thesis, which saw one strong price drop before a medium-term rally.

This bearish thesis will be invalidated, however, if ADA’s price is able to climb above the 20-week and 50-week EMA lines, according to the analyst. Meanwhile, at press time, these two EMA lines continued to act as resistance for ADA’s price, as the altcoin was changing hands at $0.3017 according to CoinMarketCap.

This was after ADA’s price dropped 0.66% over the past day of trading. This negative daily performance also pushed ADA’s weekly performance further into the red to -4.77%.

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