Cryptocurrency markets, led by bitcoin (BTC), tried to break out in late May. They have since retreated but remain above the lows reached in the mid-May sell-off. Cardano cryptocurrency, ADA, followed this pattern, gaining more than 21% in the last week of May and reaching a high of $0,669 on the 31st of the month, falling about 9% in the first few days of June. As of July 2022, ADA is trading around the $0,46 mark.
In this article, we will discuss:
What is Cardano?
Cardano is a platform blockchain proof-of-stake that claims to aim to enable “change agents, innovators and visionaries” to bring about positive global change. The open-source project also aims to “redistribute power from complex structures to the margins of the individual” — helping to create a safer, more transparent and fair society.
Cardano was founded in 2017, and the ADA token is designed to ensure that its owners participate in the operation of the network. Thus, those who hold the cryptocurrency have the right to vote on any proposed software change. The team behind layered blockchain says that there have already been some interesting use cases for their technology, which aims to allow decentralized applications and smart contracts to be developed with modularity.
Cardano is used by agricultural companies to track fresh produce from field to table, while other products built on the platform allow records to be stored in a tamper-proof way for retailers to crack down on counterfeit products.
Cardano price analysis: will the recovery last?
The ADA/USD price tends to follow the trending pattern of the cryptocurrency market, rising in late 2017 and early 2021 rallies, and losing value during broader sales. The exception was when the ADA price reached its all-time high of $3,10 on September 2, 2021, ahead of the Alonzo hard fork that introduced smart contracts to the blockchain.
Developers deployed more than 100 smart contracts after launch, but as the chart shows, the ADA token sold and did not participate in the November crypto rally that took bitcoin (BTC) and ether (ETH), the two biggest coins. , to new highs. The ADA started 2022 at $1,36 and moved to $1,63 on Jan. 18. It then dropped to $0,7528 on Feb 24 as investors sold assets at the start of the Russia-Ukraine conflict. The price rebounded to the $1,24 level in late March but failed to maintain the uptrend, dropping to $0,7424 in late April.
ADA fell to an intraday low of $0,4065 on May 12 as cryptocurrency markets reacted to the meltdown of Terra tokens UST and LUNA and the US dollar surged to 20-year highs against a basket of other currencies. currencies, known as the dollar index. DXY). ADA rebounded to $0,6823 as cryptocurrency prices surged, then traded back to $0,40-0,50 in early July.
Cardano Price Forecast (ADA): Should you buy or sell the coin?
The short-term outlook for the ADA price was largely bearish at the time of writing, according to technical analysis data. There were 17 indicators showing bearish signals and 12 bullish signals. The Stochastic Relative Strength Index (RSI) and the Average Directional Index showed neutral signals, while the volume-weighted moving average (VWMA) and Hull moving average (HMA) showed buy signals. The Cardano cryptocurrency price prediction indicated that the token could rise by 20,11% to reach $0,604753 in July 2022.
Looking ahead, the ADA token would trade at $0,2064 by the end of 2022 and sliding to $0,0472 by the end of 2023. ADA's price forecast estimated that the average price of ADA could fall to $0,0227 by the end of 2025 and slightly up to $0,0363 in five years. The long-term Cardano coin price forecast projected that the ADA could average $0,68 in 2022 and $0,75 in 2023, based on historical data. The price could rise to $0,97 in 2025 and $2,35 in 2030.
The most optimistic ADA token forecast for the second half of the decade estimates that the price could average $1,93 in 2025 and $13,92 in 2030, based on technical analysis assisted by artificial intelligence. The more conservative price forecast showed that the coin will rise at a faster pace over the next five years, from $0,85 at the end of 2022 to $6,45 at the end of 2025 and $10,70 in June 2027, based on technical analysis driven by deep learning processes.
When looking for an ADA coin price prediction, it is important to keep in mind that cryptocurrency markets remain extremely volatile. This makes it difficult to accurately predict what a currency's price will be in a few hours, and even more difficult to provide a long-term projection. As such, analysts and algorithm-based forecasters can get their predictions wrong. Having said that, before making any investments, do your research, investing in cryptocurrencies is highly risky and speculative, and this article is not a writer's recommendation for investing in cryptocurrencies.
Where to buy ADA token?
- Binance
- OK
- bybit
- MEXC
Conclusion
In volatile cryptocurrency markets, it is important to do your own research on a coin or token to determine if it is a good fit for your investment portfolio. Whether the token is a suitable asset for you to trade will depend on your risk tolerance and how much you intend to invest. And never invest money you can't afford to lose.
Frequently asked questions
How far will Cardano go in 2022?
The potential for the ADA coin price will depend on its continued adoption in the cryptocurrency community and the direction of cryptocurrency markets. You should do your own research to get an informed view of where the currency might trade in the future.
How many Cardano coins are there?
There were 33,93 billion coins in circulation at the time of writing, giving the ADA a market capitalization of $17,08 billion and ranking it as the eighth largest cryptocurrency.
Why is the Cardano price dropping?
The ADA token price is under pressure from bearish sentiment in the cryptocurrency markets, although it has found some support from the Vasil hard fork, which will bring new functionality to the Cardano blockchain.
