Cardano (ADA) has been one of the most solid performing cryptocurrencies of 2021. This article about Cardano Price Prediction 2021 is based on technical analysis.
Cardano recently smashed records and emerged as the 3rd largest crypto asset by market cap at a price of around $3. Japan has also recently given Cardano the green signal to be listed on exchanges, opening it up to the 3rd largest economy in the world.
September 2021 is the programmed implementation of smart contract functionality on Cardano. The introduction of smart contracts will allow Cardano to become a member in the decentralized finance (DeFi) space and perhaps grow an even bigger competitor to Ethereum. Holders of the Cardano token (ADA) can stake their ADA and get rewards.
Now that we have observed the developments of Cardano, will it be a valuable cryptocurrency in 2021? Below, you will comprehend the key metrics that we have considered with ADA price analysis and prediction.
What is Cardano?
Cardano was launched in 2017 by former Ethereum developer Charles Hoskinson. It is a proof-of-stake blockchain platform.
Cardano, the 1st blockchain made based on peer-reviewed research, is being formed through evidence-based methods. Overcoming the scalability and security vulnerability problems of Ethereum is the goal of the project.
Hoskinson also wanted Cardano to be a for-profit entity, accepting venture capitalist donations. In contrast, Ethereum was adamant about remaining a non-profit organization.
Elon Musk created a stir in the markets when he tweeted that Tesla won’t start accepting Bitcoin until it increases its use of renewable energy. Cardano is a proof-of-stake blockchain in contrast to Bitcoin and Ethereum, which both use a proof-of-work protocol.
The proof-of-stake protocol is more environmentally friendly since it uses significantly less energy than proof-of-work chains. The proof-of-stake system can achieve more than 4 million times the energy efficiency of a proof-of-work system.
The Cardano platform consists of 2 layers. The settlement layer is where the ADA token exists and keeps track of transactions. The computation layer allows smart contracts and decentralized applications (dApps) to run on the platform.
Cardano Price Analysis 2021
ADA continues to be one of the most competitive cryptocurrencies nowadays. According to CoinMarketCap, the ADA price is trading at $2.13. Distinctly, ADA was able to record an increased rate of almost 35% in the last 5-days.
In terms of its market position, ADA market capitalization amounts to almost $85,194,064,871 with a 24-hour trading volume of over $7,865,096,756. As a result, the crypto ranks as one of the top 5 cryptocurrencies in CoinMarketCap. With all these accomplishments, ADA has come a long way in developing its technology throughout the years.
Now that you already know what ADA cryptocurrency is, do you think ADA is a good investment this year? Let’s check this ADA price analysis and price prediction article if you are eager to know.
In addition, we can see that Cardano recently performed an Ascending Channel pattern. An ascending channel is the price action that occurs in an upward direction through a rising parallel line. More so, the chart shows the Higher Highs and Higher Lows from this price pattern. Furthermore, this pattern represents a short-term bullish.
In other words, ADA is preparing itself for a possible bullish rally in the days to come. If this happens, the crypto might go beyond its resistance level and reach the bullish price. Of course, this is most likely to occur if the bullish market continues to reside with Cardano.
Oppositely, if the bulls turn opposite the crypto, the price of ADA might fall. In brief, Cardano might break out from its uptrend position and nosedive to a bearish price. Indeed, this price level is not a good picture in the eyes of the investors.
The Relative Strength Index (RSI) of Cardano (ADA) is at 56.52, indicating a nearly overbought state. With this in mind, traders, especially scalp and day traders, can trade confidently without worrying about a significant price reversal.
Cardano is one of the potential cryptocurrencies this year. Since the start of 2021, ADA’s price has seen many bullish moves, higher than the previous one. More so, these are followed by consolidations, fluctuations, and corrections right away.
Cardano Market Capitalization
As we have discussed above that the market cap of Cardano as of August 2021 is around $90 billion, making its position strong as the 3rd biggest cryptocurrency according to CoinMarketCap ($89,954,280,847). The current price of a single ADA token is just under $3 — almost 100 times greater than its 2020 low of around $0.03.
You shouldn’t focus too much on the cost of an asset because it’s the market cap that defines the market value of a project’s circulating token supply. The market cap is the total cost to purchase all the projects tokens entirely in a single transaction. The market cap also helps disclose the amount of risk involved when investing in a project. Cardano was able to soar to the 3rd highest market cap because of the anticipation of the Alonzo hard fork in September 2021. The hard fork will allow DeFi, non-fungible tokens (NFTs), and gaming apps to go live on Cardano.
The project’s large-cap ranking (about $90 billion) makes it principally categorized as a “safe” investment. Analysts identify the potential capacity for Cardano to grow in value. Cardano has a chance to match Ethereum’s projection of hitting a $1 trillion market cap by 2022. The Cardano ecosystem is forecasted to grow exponentially, and owning ADA could be rewarding as adoption grows.
How Long Will It Take for Cardano to Reach $10?
Cardano has been one of the breakout projects of 2021. It proved its ability to reach high price points by continuously smashing through all-time highs.
If the Alonzo hard fork goes off without a hitch, the ADA token could get to $10 before the end of 2021. Cardano will increase its user and developer base as more DeFi and NFT projects are released, which should cause an increase in the price of ADA. For Cardano to reach $10, Bitcoin will have to remain on an upswing for the remainder of the year. However, due to the very turbulent nature of the crypto markets, you should not put too much confidence into price predictions. There could also be delays in project development.
A more conservative outlook is that ADA could reach $10 in the next 10 to 12 months.
Cardano Price Prediction for 2021
The Cardano network is one of the most effective cryptos this year in terms of technology development. Cardano announced that users will be able to use smart contracts once the Cardano hard fork occurs.
The crypto is showing strong bullish signals against the bears. The crypto trades at a high price of $2.67 with a 5-days growth rate of over +35%. If this bullish trend continues, ADA might be able to break its $3.13 resistance level. It could even go beyond $4.27 before the year ends and likely reach $7 – $10 in 2021 if the market continues to favor crypto.
However, if the market turns against the crypto, ADA could experience a price decline, an event in favor of the bears. This bearish event could trigger a price rollback below $2.46 and could even fall deeper to $2.026.
In this case, the crypto must find a way to regain its composure and recover back to its bullish position. Otherwise, the bears might turn the support level to the new resistance level, an event not favorable to investors.
Moreover, Cardano is on its way to completing its third blockchain upgrade. If this becomes successful, the crypto is likely to go beyond $5 before 2021 ends. It could climb further to $10 in 2021 if ADA continues to win the trust of its investors.
Cardano Price Prediction for 2022
If this bullish trend continues, Cardano will reach $12 by the end of 2022. Moreover, the first half of 2022 is going to show fast growth, up to $15. Then this rise will slow down, but no significant falls are expected. With forthcoming partnerships and developments reaching $12 is quite optimistic in the price point of view but undoubtedly feasible for the near future.
Cardano Price Prediction for 2023
The price of Cardano can move even great heights, however, reaching $18. Moreover, this is possible only if the market maintains its bullish trend. In addition, only if the cryptocurrency Cardano breaks past the psychological resistance level.
Cardano Price Prediction for 2024
As per the latest upgrades, developments, Cardano price prediction, and new project forecasts of the platform moreover, this might boost the price of Cardano in the crypto market, and it will be the best investment as the price can spike and reach around $25.
Cardano Price Prediction 2025
In the next four years, Cardano prices could race up to $37. This indicates that Cardano has a high possibility of reaching a new ATH soon in the next five years as per the prediction. However, achieving this level could not be so challenging for Cardano as additional medium, short-term, and long-term price targets could be found to purchase or sell orders.
Ongoing Crypto Prices
The total market cap for the whole crypto space is just over $2 trillion. Positive sentiment in the market seems to be making the $2 trillion overall crypto market cap act as a support level. Bitcoin (BTC) and Ethereum (ETH) continue to look steady as they trade sideways within a tight price range. Most investigators anticipate a breakout move in positive price action, confirming the continuation of the bull market.
Investing in cryptocurrency can be a roller coaster ride of intense price fluctuations, so don’t invest more than you can afford to lose. Research the projects you support to ensure that the team is legit and that the token has a use case. Remember that even a bona fide project could take years to develop or could fail.
Cardano, A Good Investment?
Assume you believe in Cardano’s capacity to deliver smart contracts and overcome scalability concerns soon. In that case, ADA could determine to be a superb investment. The release of DeFi and NFT apps like SundaeSwap and ErgoDEX could drastically improve the number of transactions on the network, driving the ADA price higher. Early adopters who hold ADA before the release of these dApps could prove to be a profitable endeavor.
Cardano has a splendid future ahead of it in 2021. With the current developments occurring within the Cardano ecosystem and the overall crypto market, we may notice Cardano attain new peaks.
Bullish Cardano’s price prediction for 2021 is $5. It may even reach over $10 if investors have chosen that Cardano is a good investment in 2021, accompanying with mainstream cryptocurrencies like Bitcoin and Ethereum.