At first glance, the rare earth conflict between the US and China may seem unrelated to blockchain projects like Cardano. But here’s the thing: Rare earths are essential For semiconductors, electric vehicles, and high-tech manufacturing. Supply shocks will increase inflation, worsen global risk sentiment and weigh on capital markets. When investors exit risk-on assets, cryptocurrencies like ADA are often the first to bleed.
The latest announcement of 100% tariffs has spooked stock markets and increased risk aversion, with direct implications for cryptocurrencies. The sharp decline in ADA reflects not just a technical sell-off, but a broader panic caused by a macro event.
Cardano Price Prediction: What Does the ADA Chart Really Show?
Looking at the daily chart, ADA has broken through the $0.75-$0.72 support zone and is collapsing towards $0.66 at the time of writing. Bollinger Bands indicate extreme expansion, meaning volatility is skyrocketing. The price trend is below the middle band, and the momentum has decisively turned bearish.
Main levels to focus on now:
- Immediate support lies around $0.65, with buyers tentatively intervening.
- If this level fails, the next demand zone will be around $0.55, coinciding with the lower extension of the Bollinger Bands.
- On the upside, ADA needs to regain $0.75 and eventually $0.81 to show resilience.
This chart shows panic selling. This is not a controlled downtrend, but a capitulation style movement.
Cardano Price Prediction: Could ADA Price Really Slump to 0?
The problem is, no, the price of ADA is not going to be zero. A crash to zero would mean a complete collapse of the Cardano network, its ecosystem, and its utility. it’s not. What we are seeing is a brutal risk-off adjustment, amplified by global macro events.
However, if the trade war continues to escalate, the chances of ADA revisiting deeper lows, say $0.50 or even $0.40, increase significantly. Cryptocurrency markets thrive on liquidity, but tariffs, inflation, and rare earth supply shocks all reduce investors’ appetite for speculative assets. Although ADA is fundamentally sound, it cannot escape liquidity cycles.
Short-term prediction: More pain ahead?
In the short term, $ADA is likely to remain under significant pressure. As long as the US-China conflict continues to disrupt markets, any rebound risks turning into a bull trap. If a broader decline develops, a retest of $0.55 is not only possible, but very likely.
Conversely, if trade negotiations unexpectedly stabilize or the market absorbs the tariff shock sooner than expected, Cardano could rebound towards $0.80. However, the bears will remain in control until the $0.81 level turns from resistance to support.
Long-term prospects: survival rather than collapse
Cardano is one of the few blockchain projects with an aggressive development roadmap, real-world use cases in DeFi and governance, and a strong community. These basics act as a safety net. The price of ADA may fall in the short term, but the network will not disappear.
Long-term investors should view this crash as part of a broader crypto cycle influenced by macro shocks. A Cardano price of $0.40-$0.50 will hurt, but a long-term accumulation zone will also be established.
final point
ADA hasn’t crashed to zero. What we are witnessing is macro-driven risk events dragging ADA into deeper bearish territory. If you trade, respect the support at $0.65 and be prepared for a possible test at $0.55. If you are investing, please understand that this is a storm caused by tariffs, rare earth shocks, and global uncertainty, not by the failure of Cardano itself.
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