Cardano price continues to stabilize after crashing to its three-week low on Tuesday. ADA price today trades at $0.7 as the sell-off took a breather and as crypto investors focus on the upcoming meeting between Charles Hoskinson and a yet-to-be-named VIP. So, can Cardano rebound to $1 after forming a double-bottom?
Cardano Price Crash Eases Ahead of Charles Hoskinson VIP Meeting
A potential catalyst for the ADA price is the upcoming meeting between Charles Hoskinson and a VIP whose name is yet to be named. It will happen on March 1. Hoskison, who founded Cardano, has hinted that this will be a crucial meeting that could have strong outcomes, potentially a partnership.
Hoskinson Dinner Meeting
Some crypto pundits on X have predicted that the meeting will be with billionaire Elon Musk. In addition to leading Tesla, musk is also the head of the Department of Government Efficiency (DOGE).
DOGE is working to save the US government money by boosting efficiency. Its cost cuts will be highly necessary after the latest Trump budget that includes over $4.5 trillion in tax cuts. The budget is also considering about $2 trillion in cost cuts.
Musk is considering moving some government functions to the blockchain. Cardano enthusiasts have made the case for the network, citing its low transaction costs, 100% uptime, and fast speeds. Such a deal would be a strong validation for Cardano, whose ecosystem is weaker than other comparable chains.
Cardano price has three risks in relation to the Hoskinson VIP meeting. First, there is a likelihood that the meeting will be delayed again as it happened this month. Second, there is a risk that the VIP will not Elon Musk or Donald Trump. Finally, the meeting’s outcome may not be all that significant.
ADA Price Technical Analysis as a Double-Bottom Forms
The daily chart reveals that the ADA price has crashed by almost 50% from its highest level in November last year. It has also plunged below the 61.8% Fibonacci Retracement level, a popular red flag that points to further downside.
The other risk is that the spread between the 50-day and 200-day Weighted Moving Averages (WMA) has narrowed. That is a sign that a death cross pattern may be about to form, risking further downside.
However, at times, assets often rebound before the death cross pattern forms. More so, there are signs that it has formed a double-bottom pattern at $0.654, and whose neckline is at $0.822, which coincides with the 50% Fibonacci Retracement level and the 200-day WMA. A rebound above that level will point to more upside, potentially to $1, up by 47% from the current level.
Cardano Price Chart
The bullish ADA price forecast will become invalid if it dops below the psychological support at $0.5, the lowest swing this year.
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