RayTrader Updates Bearish Cardano Prediction, Targets $0.15 Bottom But Remains Bullish On-Chain Growth

Despite ADA excellent performance at the close of September, some market analysts remain skeptical and advise participants to short ADA.

.15 Bottom But Remains Bullish On-Chain Growth" >

Market analyst RayTrader has updated his bearish prediction for Cardano on TradingView. He acknowledged ADA’s movement into the range of $0.40 on September 26 but still predicted it would drop as low as $0.16 and $0.15 before a possible trend reversal into a bull market.

The current Cardano price is $0.35, and a slip back to this level would represent a 61% loss for investors today. While ADA has not been at this level since December 2020, it can still happen, says RayTrader - a crash to this range amidst the present uptrend sentiment.

RayTrader updated his bearish outlook to suggest that ADA slip below the $0.40 level created an excellent opportunity to sell the coin short, establishing a near-term target of $0.25. Having seen ADA slip to $0.3718 with Monday’s broader market downturn, RayTrader maintained, “Short sellers can keep their positions open, as there is still much downside potential before the likely local bottom at $0.15.

The bearish analyst suggested that traders who are satisfied with profits from shorting ADA might want to liquidate some positions along the way, but he feels that the much more significant profits will come to those who remain patient as the $0.15 target is reached. At this point, RayTrader thinks this level will likely mark the bottom and go on to serve as the foundation for a big bull run.

Bearish Price Action, Bullish On-Chain Growth

While RayTrader remains significantly bearish on ADA, other market analysts hold a bullish outlook.

Despite the price action of Cardano being largely uninteresting, according to crypto expert @CryptoFaibik, its network isn't. Celebrating seven years since the mainnet was turned on with zero hours of downtime, continuous developments in the chain ensure that its growth is stable and progressive.

ADA weekly development report of last week showed a 4.24% increase in the number of projects building on the blockchain, at 1,376, indicating high developer activity. The number of native tokens on the network also increased by 9.7% to stand at 10.40 million, with token policies surging 78.8% to hit 168,811.

The token also attracts fresh interest, which can influence ADA's price, with the highly expected Midnight Protocol testnet. The latest announcement reported that for developers, the Midnight Protocol is now live, indicating the important milestone for the platform has finally been reached.

It also pointed out that the number of smart contracts being deployed keeps increasing, with 88,340 active Plutus scripts - a number considerably higher. Transaction volume reached 96.94 million from 82.7 million the previous month, indicating increased adoption of the Cardano ecosystem.

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