ADA Bulls Retreat as Technicals Flash Red: Sixth Straight Week of Losses Signals Deeper Collapse

ADA Bulls Retreat as Technicals Flash Red: ADA Hits Lowest Price Since April

As the cryptocurrency market continues to tumble, the price of Cardano is expected to decline for the sixth week in a row. Today, June 21, ADA is trading at $0.5851, which is 55% below its peak for the year and the lowest level since April 25. As its decentralized finance (DeFi) growth reverses and Charles Hoskinson bemoans the ongoing Chainlink integration, technicals predict another 30% drop.

ADA’s Megaphone Pattern Signals 30% Crash If Key Support Fails

Cardano is gradually creating the megaphone, a massive rising broadening wedge formation. Two trendlines that are climbing and diverging make up this pattern. In this instance, the bottom side links the lower lows since September 2023, and the upper side links the higher highs since January 2023. An asset typically bursts upward after repeatedly retesting the channel’s lower side.

In this instance, the bearish outlook will be confirmed with a decline below the crucial support level of $0.516. This level is significant because it represents a bullish double-bottom pattern and the lowest swing between February and April. At $0.40, or almost 30% below the present level, a decline below that level will indicate further downside to the lower half of the rising broadening wedge.

Hoskinson Calls Out Chainlink: Why Is Cardano Still Not Integrated?

Charles Hoskinson has been advocating for the delayed Chainlink integration since December of last year, and this could be a trigger for the pessimistic Cardano estimate. Hoskinson claimed in a video statement that he was still not sure why his chain was not being integrated by Chainlink.

There seems to be two factions within Chainlink. There’s the leadership of Chainlink that I am friends with and know very well. And every time we talk, we say that we should do more together. Then there is the business side of Chainlink that say they would like to integrate, and it never goes anywhere.

Hoskinson

Since Cardano is the largest company in the oracle sector, a Chainlink connection would be significant. The addition of the Cross-Chain Interoperability Protocol (CCIP), which would allow Cardano to integrate with other chains like Ethereum and Base, will also be advantageous.

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