Cardano's ADA token is facing an unexpectedly gloomy future, according to renowned crypto analyst Benjamin Cowen. In a recent Twitter post, Cowen predicted a protracted "depression phase" for ADA, with the downward spiral commencing when ADA's price falls below $0.24. This bleak phase is anticipated to persist until the expected return of quantitative easing (QE), which Cowen speculates may occur sometime in 2024.
Cowen, known for his astute insights in the cryptocurrency community, presented a comprehensive analysis supported by a revealing chart. According to his calculations, Cardano's depression phase could span approximately nine months, extending into the summer of 2024.
This is not the first time Cowen has sounded the alarm for ADA. Earlier in September, he had hinted at ADA's impending downturn, asserting that the drop was not exclusive to the crypto sphere but a result of aggressive liquidity withdrawal. However, Cowen offered a glimmer of hope, emphasizing that liquidity would eventually return, rejuvenating the altcoin market.
As of now, Cardano's ADA is trading at $0.246 per token. Cowen's assessment suggests that the digital asset is already entrenched in the early stages of the predicted depression phase. This revelation has stirred discussions and concerns within the crypto community, as investors closely monitor ADA's performance, hoping for signs of recovery on the horizon.