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Cardano has recently experienced a sharp decline in price, leading to widespread discussions within the cryptocurrency's community. According to recent charts and community posts, there has been a nearly 18% decrease in ADA over the previous three months.
This has alarmed investors who have described the current state of affairs as brutal price action. A primary cause of ADA's downfall is the overall pessimistic attitude that has affected the cryptocurrency market as a whole. ADA has had difficulty holding onto its major support levels, as seen on the charts, and has dropped below important moving averages like the 100 and 200 EMAs.
The inability to hold these levels has further fueled fears of a prolonged bear market for Cardano. About this pricing action, the community has not kept quiet.
Similar opinions have been expressed by other community members. One person pointed out that although it might be difficult to stay optimistic at this time there, might be a chance to increase investment amounts. In a larger sense, some community members have voiced conflicting opinions regarding recent changes in the macroeconomic landscape, such as rate reductions.
In a subsequent tweet, a Cardano whale noted that rate reductions might not be sufficient to buck the trend, especially in an unstable and cash-strapped environment. This feeling is supported by the technical analysis, which shows that the RSI is getting close to oversold territory and that Cardano is perilously close to a significant support line.
ADA may come under more downward pressure if it is unable to maintain this level. The next major support level is in the $0-$30 range, and a break there could make things much worse.