Cardano (ADA) prices have not reacted positively each time in recent years after Charles Hoskinson mentioned something negative about Bitcoin (BTC).
ADA price down 75% since Hoskinson criticized BTC
Notably, the ADA/BTC trading pair has declined by 75% almost two years after Hoskinson questioned Bitcoin’s survivability in an interview with Cointelegraph.
During the October 2022 conversation, Hoskinson argued that BTC should not be used on the Bitcoin blockchain network but on faster blockchains like Cardano or Ethereum as a wrapped asset.
At that time, ADA/BTC was trading for as high as 2,188 satoshis (1 satoshi equals 0.00000001 BTC). But as of Sept. 3, the pair had declined to as low as 562 satoshis, closer to its lowest levels since December 2020.
ADA/BTC weekly price chart. Source: TradingView
ADA/BTC’s negative reaction to Hoskinson’s Bitcoin criticism is part of a consistent pattern. In most cases, his remarks have been followed by declines in ADA/BTC, whether in the short or in the medium term.
Source: X
That was the case after Hoskinson’s June 2021 critique, in which he likened Bitcoin to a “washed-up football star,” his April 2024 comparison of Bitcoin to religion, his May 2024 claim that “the industry doesn’t need Bitcoin anymore,” or his June 2024 assertion that Cardano would surpass Bitcoin.
ADA/BTC monthly price chart. Source: TradingView
ADA/BTC has crashed by almost 94% compared to its all-time high in January 2018.
Is ADA bottoming out versus BTC at last?
ADA’s interim technical setup versus BTC looks skewed toward bulls.
Notably, the ADA/BTC pair is trading inside what appears to be a falling wedge setup, which traditional analysts consider a bullish reversal pattern. As a rule, a falling wedge setup resolves when the price breaks decisively above its upper trendline and rises by as much as the wedge’s maximum height.
Related: Cardano’s Chang hard fork successful as it shifts to decentralized governance
Applying the same principle to the ADA/BTC chart brings its falling wedge target to around 694 satoshis if the breakpoint point is where the pattern’s trendlines converge. In other words, the pair could rally by approximately 25% by the end of 2024.
ADA/BTC daily price chart. Source: TradingView
However, on the longer-timeframe chart, a rebound does not necessarily indicate an ADA/BTC bottom.
ADA/BTC six-week performance chart. Source: TradingView
Notably, the pair has dropped below its lifetime ascending trendline support in May 2024—right after Hoskinson’s “the industry doesn’t need Bitcoin anymore” remark—and has been constantly declining since.
Further drops could have ADA test the 1.0 Fibonacci retracement level at around 413 satoshis as the next downside target in 2025, down about 25% from current prices.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.