“It will get worse, it will get redder,” Charles Hoskinson warned.

Cardano’s ADA plunged by double digits in the past seven days, in line with the bloodbath that covered the entire crypto market.

The question now is whether the price is headed for a further slump or a much-needed recovery.

What’s Next?

On Friday morning, ADA nosedived to around $0.22 (per CoinGecko’s data), the lowest level since June 2023. The renowned analyst Ali Martinez outlined three important support levels where the asset could find buyers if the sell-off continues. The first line is $0.249, the second is $0.115, and the third is the extreme case at $0.053.

As shown in the chart below, there was a brief breakdown below the $0.249 support level, but bulls regained some lost ground, and ADA currently trades at approximately $0.26.

Some industry participants expect further recovery and even a major rally in the future. X user CryptoPatel claimed that ADA is at the exact level that triggered a huge pump years ago, wondering if history is about to repeat. They set a short-term target at $0.40, followed by a “full cycle extension” to above $3. However, the analyst warned that a weekly close below $0.10 would invalidate the setup.

X user Sssebi chipped in, too, noting that ADA has never been this oversold on the weekly timeframe in its entire history. According to CryptoWaves, the Relative Strength Index (RSI) has fallen to around 28 on that scale, matching the lowest mark witnessed in 2019.

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The technical analysis tool measures the speed and magnitude of recent price changes and can indeed help traders determine whether the asset is oversold or overbought. Ratios below 30 signal that the valuation has plunged too rapidly over a short period, suggesting it could be on the verge of a resurgence, while anything above 70 is considered a bearish zone.

ADA’s exchange netflow also hints that stabilization may be on the horizon. Data from CoinGlass shows that outflows have dominated inflows over the past several weeks and months, indicating that investors continue to move their holdings from centralized platforms to self-custody. This usually results in reduced selling pressure.

Hoskinson’s Crucial Losses

Cardano’s founder, Charles Hoskinson, reported losing over $3 billion due to the market decline. He predicted that the prices may continue plunging, but at the same time gave investors some inspirational guidance that may help them pass through the turbulent times:

“Don’t let the markets get you down. It will get worse, it will get redder, it is what it is. But at the end of the day, are you having fun? Find a way to. And know that each and every one of you in the cryptocurrency space, you are doing something that matters, you are doing something that has the potential to change the world.”

Veteran trader Peter Brandt said Bitcoin could be approaching a potential downside floor, arguing that past bear market patterns suggest losses may be limited from current levels.

“If Bitcoin digs into the banana peel as deeply as in past bear market cycles, then the bulls should not need to suffer too far south of $42,000,” Brandt wrote on X. “We are a hop, skip and jump from there.”

Brandt accompanied the post with a long-term Bitcoin (BTC) chart showing price action relative to what he describes as a “banana peel” support zone, a curved lower boundary that has historically contained Bitcoin’s deepest drawdowns.

Brandt’s “banana peel” metaphor refers to the slippery downside zone, where price can slide quickly but has historically struggled to sustain deep breaks below it.

In the current cycle, that lower boundary sits near the $42,000 level, implying Bitcoin may be nearing a historically significant area of support.

Brandt flags Bitcoin ‘campaign selling’ in prior warning

Brandt’s latest post follows a separate tweet from the previous day, in which he said Bitcoin’s recent price action appeared to reflect “campaign selling” rather than retail-driven capitulation.

In that earlier post, Brandt pointed to a multi-day pattern of lower highs and lower lows, suggesting that large, coordinated sellers may be driving the decline. He added that similar patterns have appeared in past market cycles, though timing a bottom remains uncertain.

Together, the two tweets frame a cautious outlook: further downside may be possible, but historical behavior could limit how far prices fall.

The comments come as Bitcoin continues to slide alongside a broader crypto market downturn, with prices under pressure across major digital assets. Major altcoins have followed Bitcoin lower, amplifying losses across the sector.

Vietnam is preparing to introduce a tax framework for cryptocurrency transactions that would align digital assets with securities trading, according to a draft policy circulated by the Ministry of Finance.

Under the proposal, individuals transferring crypto assets through licensed service providers would face a 0.1% personal income tax on the value of each transaction, local outlet The Hanoi Times reported. The structure mirrors the levy currently applied to stock trades in the country.

According to the report, the draft circular, released for public consultation, classifies crypto transfers and trading as exempt from value-added tax. However, the turnover-based tax would apply to investors regardless of residency status whenever a transfer is executed.

Companies operating in Vietnam would be taxed differently. Institutional investors earning income from crypto transfers would be subject to a 20% corporate income tax, calculated on profits after deducting purchase costs and related expenses, per the report.

Related: No companies apply for Vietnam crypto pilot amid high barriers

Vietnam formally defines crypto assets

Authorities also reportedly provided a formal definition of crypto assets, describing them as digital assets that rely on cryptographic or similar technologies for issuance, storage and transfer verification.

The draft also outlines strict requirements for operators. Firms seeking to run a digital asset exchange would need at least 10 trillion Vietnamese dong (about $408 million) in charter capital, a threshold higher than that required for commercial banks and far above capital standards in many other industries. Foreign ownership would be permitted but capped at 49% of an exchange’s equity.

The proposed rules come as Vietnam began a five-year pilot program for a regulated crypto asset market launched in September 2025. On Oct. 6, 2025, Vietnam’s Ministry of Finance confirmed that no companies had applied to participate in the five-year crypto pilot at that time, citing high capital requirements and strict eligibility conditions.

Related: Vietnam central bank expects credit growth amid rapid crypto adoption

Vietnam opens licensing for crypto exchanges

Last month, Vietnam started accepting applications for licenses to operate digital asset trading platforms, marking the operational launch of its planned pilot program for a regulated crypto market.