ADA Plunges to Three-Month Low, Market Panic Ensues

Cardano's ADA token has experienced a significant drop this week, reaching a three-month low and triggering market panic. Despite the overall bullish market sentiment, the short-term trend for ADA is bearish due to consecutive monthly declines. The asset broke down from the $0.8 level to $0.5, marking its lowest price in three months.

The recent rejection and continued bearish pressure suggest a potential exhaustion in selling, but a rise in selling volume could lead to further dips. If this week's low holds as support, a pushback to the broken level may occur, determining the next direction. At the time of writing, there is no sign of recovery, and a deeper retracement in the coming days is possible.

Key levels to watch include $0.69 support and $0.765, $0.86, and $0.988 resistance levels. If ADA reclaims this week's $0.5 low, it may break lower to $0.43 and $0.36. Conversely, a bounce could push the price towards $1.152. The current price is $0.7, with a bearish trend and high volatility.