Finance Insights: Analyst Predicts Nvidia (NVDA) Stock May Drop by 50%
Understanding Nvidia's Stock Dynamics
Finance analysts have recently raised concerns regarding Nvidia (NASDAQ: NVDA), predicting a possible 50% crash in its stock price. Following a brief period of apparent recovery, characterized by breaking key resistance levels, the stock is now revealing signs of weakness.
Key Factors for the Decline
- Formation of consecutive lower highs indicating a potential downward trend.
- Diminishing trading volume which typically suggests weakening market support.
- Critical support levels identified through Fibonacci retracement analysis.
Nvidia's Price Targets
According to the expert analysis shared by Alan Santana, Nvidia's critical support range could emerge around the 0.618 Fibonacci level, anticipated to stabilize between $83 and $77. If bearish momentum continues, a severe drop to $61 could occur, marking a 50% downturn from Nvidia's latest closing price.
Market Sentiment and Analyst Perspectives
Despite the bearish outlook, Nvidia's stock may still attract interest after its upcoming earnings report, as some analysts suggest a potential bullish reversal, contingent on positive earnings outcomes. Current projections from major analysts show a mixed sentiment, with average price targets reflecting a 25% upside despite the bearish outlook.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.