While July started bullish for the cryptocurrency market, the second half of the month was bearish. This is particularly evident in the drop in total market capitalization that followed the July 13 annual high.
Although there is hope that a bullish reversal will begin in August, these four bearish cryptos have a negative outlook, indicating that the worst is yet to come.
Cardano (ADA) Fall May Accelerate Due to Loss of Support
Cardano (ADA) price has been following an ascending support line since its yearly low of $0.22 on June 10. The increase was rapid and peaked with a high of $0.38 on July 14. weak.
However, the bearish crypto has since fallen. The decline was catalyzed by a rejection of the $0.36 horizontal resistance zone (red icon), which created a long upper wick.
The reason the rejection is crucial is that it caused the ascending support line to break down on August 1st.
If the decline continues, the next closest support is at $0.25, a 13% decline from the current price of $0.29. Since this is the last support zone before $0.15, a breakdown of it could further accelerate the rate of decline.
However, it is worth mentioning that Cardano’s latest upgrade, Mithril, is a significant improvement in efficiency. Cardano founder Charles Hoskinson said that Mithril will significantly improve performance.
BNB Price Risk Channel Breakdown
The price of BNB has fallen since hitting a yearly high of $350 on April 16. The downward move led to a low of $220 on June 12. This is a 37% drop from the peak.
Subsequently, BNB price rebounded, validating the $230 horizontal area as support. However, the rebound did not allow for a significant increase.
On the contrary, the price of BNB traded inside a parallel ascending channel, which is considered a bearish pattern. The fact that the price is trading in the lower part of this channel aligns more with the possibility of a breakdown.
Since the $230 zone is very close to the current price, a breakdown of the channel will likely lead to a breakdown of the $230 zone as well. In this case, the price of BNB could fall another 20% and reach the $190 support, falling to a new yearly low in the process.
Despite this bearish BNB price prediction, a strong rebound from the support line of the channel may lead to an increase towards the resistance line at $270. This could be triggered by the good news that the Binance exchange has received an operational license from the Virtual Assets Regulatory Authority in Dubai.
Theta Token (THETA) Price Is Rejected By Long-Term Resistance
THETA price has fallen below a descending resistance line since the all-time high of $15.88 in April 2021. The line has been in place for 840 days and has catalyzed a 95% price decline.
Most recently, THETA price was rejected on July 24 (red icon). The rejection is worrisome as the price is trading just slightly above the $0.60 horizontal support zone. If THETA were to break down in the region, it could quickly drop to $0.34, a 55% drop from the current price.
However, despite this bearish THETA price prediction, a break of the descending resistance line will likely lead to a 100% increase, taking the price to $1.50.
DAO Curve (CRV) Concludes Bearish Cryptos
CRV price has been rising alongside an ascending support line since November 2022. The support line has so far caused many bounces (green icon).
Just as it looked like a rebound had started on July 31, CRV price quickly crashed, falling to a new yearly low of $0.48. The outage could have been triggered by fears of a loan liquidation from CRV founder Michael Egorov.
However, the subsequent bounce caused the price to almost recover this ascending support line. Whether CRV succeeds in doing so or is rejected instead could determine the direction of the future trend.
A breakout is likely to result in a 45% drop to $0.33, while a breakout is likely to lead to a rise in the $0.85 resistance zone, a nearly 50% upside move from the current price .
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Disclaimer
In accordance with Trust Project guidelines, this price analysis article is provided for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased reports, but market conditions are subject to change without notice. Always do your own research and consult a professional before making financial decisions.