Cardano ADA is ranked 6th on the cryptocurrency market by volume and market capitalization. ADA hit its all-time high at $3.1 in early September 2021 and since then, it has been in corrections. At the time of writing, the Cardano token’s price is $1.07. Like other prominent cryptocurrencies such as bitcoin (BTC) and ether (ETH), ADA has been struggling to gain strength.
Cardano is a proof-of-stake blockchain platform that aims to empower "changemakers, innovators, and dreamers" to effect good global change. The open-source initiative also aspires to "redistribute power from unaccountable structures to the periphery to individuals," so contributing to the creation of a more safe, transparent, and fair society. Charles Hoskinson announced the introduction of the Alonzo hard fork in August 2021, leading the Cardano price to skyrocket, rising 116 percent the next month. The Cardano 'Alonzo' hard fork was formally implemented on September 12, 2021, providing smart contract features to the network. Over 100 smart contracts were deployed in the 24 hours following the launch.
Cardano is used by agricultural firms to track fresh fruit from farm to fork, while other applications created on the platform allow educational credentials to be saved in a tamper-proof manner, as well as shops to combat counterfeit items.
Key Takeaways Cardano (ADA)
- Last May, the leading proof-of-stake blockchain Cardano exceeded one million wallets. According to a recent Kraken research, more than 11,000 wallets are generated every day. Over the last year, the network has increased by 1,348%. On the blockchain, there are over one million delegated wallets, representing an 870 percent yearly increase. There were only 203,519 total wallets as of January 2021, with 112,469 of them allocated.
- Despite the fact that Cardano introduced smart contacts in September of last year, there are currently relatively few decentralised apps. The requirement for developers to adapt to the extended Unspent Transaction Output model (eUTXO) is a key cause for the delayed development. However, the Cardano-based DEX SundaeSwap went online on the mainnet last month, with a bevvy of other dApps in the works. According to a recent update issued by the Cardano Community Twitter account, the Cardano network has passed yet another critical milestone, reaching three million wallets.
- Meld, a new decentralised financial system established on the Cardano (ADA) blockchain, has secured 100 million stakes in its native currency MELD in just three days. Meld announced the milestone on its Twitter account, with the milestone being part of the DeFi protocol's goal of enabling services for staking bitcoin as collateral for fiat loans. According to Meld, it aims to reach the world's unbanked population while depending on Cardano to focus on nations with a large crypto community.
Cardano (ADA) Price Analysis
Cardano (ADA) is currently sitting on the number 6 top cryptocurrencies as of February 4, 2021.
Fear & Greed Index: 20, Extreme Fear
All-time High: $3.10
ROI: 4821.46%
24h change: 2.73%
7d change: 2.70%
Market Cap: $35,873,548,606
Circulation Supply: 33,579,631,779 ADA
Total Supply: 34,046,772,161 ADA
Weekly Chart Breakdown of Cardano (ADA)
Source: TradingView
ADA’s price is hovering above $1 support which is also a psychological level. We can see an RSI bullish divergence on the weekly timeframe that can push Cardano to a rally towards $1.5. On the other hand, a break and close below $1 will push the market towards $0.7.
Daily Chart Breakdown of Cardano (ADA)
Source: TradingView
Cardano’s price has been moving in a falling channel since it hit its all-time high. The market started consolidating above $1 after an RSI bullish divergence. We might see a rally towards $1.4 if the bulls can succeed to keep the price above $1. Otherwise, a break below $1 will push the market towards $0.7.
4H Chart Breakdown of Cardano (ADA)
Source: TradingView
ADA’s price is moving in a symmetrical triangle on the 4h timeframe. A break above will push the market towards $1.30 and a break below will push the market towards $0.8.
1h Chart Breakdown of Cardano (ADA)
Source: TradingView
Cardano’s price sentiment seems bullish on the 1h timeframe. A break above the falling trendline will push the market towards $1.15.
Final Thoughts
Cardano (ADA) like other cryptocurrencies, has been struggling to turn the trend but failed to, so far. However, exponential growth in blockchain technology with smart contracts and DeFi looks promising for Cardano’s growth.
