Cardano occupies position #4 on Coinmarketcap as of 10th February 2021. Although this means the coin dines among the top cryptocurrencies, its price has seen both good and bad days in the recent past.
After ending January consolidating at the $0.350 mark, Cardano price started February with strong bullish momentum as the price quickly broke above the $0.400 mark towards the end of February 1. After briefly consolidating below the $0.450 mark, the bulls continued the rally raising the price above the $0.500 mark. ADA was up 10.4% as of 8th February 2021 afternoon and is up roughly 311% since the start of the year. Some are expecting the price to reach $2, a massive increase over its roughly 70-cent price.
This Cardano price prediction outlook consolidates information on Cardano technical development and takes current data from the Cryptopolitan site.
What is Cardano, a brief overview
Cardano is a blockchain project optimized for smart contracts. Created by Charles Hoskinson, the platform is tagged as a “third-generation” blockchain. It has a native cryptocurrency known as ADA.
Notably, there are three wings involved in the well-being of Cardano; Cardano Foundation, Emurgo, and IOHK. The Cardano Foundation is majorly involved with promoting the use of ADA while Emurgo is into support and development. IOHK (Input Output Hong Kong) looks into Ethereum Classic (ETC) development and researches distributed and cryptographic systems.
Unfortunately, the connection between the three departments has not been without its challenges. In 2018, for example, IOHK and Emurgo accused the Cardano Foundation of not having a solid vision and transparency in its operations.
The development of Cardano is split into Byron, Shelly, Goguen, Basho, and Voltaire stages. Recently, the Shelly stage entered the testnet era which will include bootstrap and a reward phase.
Byron was the first stage that saw the introduction of the Daedalus wallet, the official desktop wallet for ADA. It also brought with it a light wallet, Yoroi, aimed at powering near-instant transactions and ideal for day-to-day use.
Shelly, the second and current stage, aims to bring delegation and Cardano reward system to boost ADA adoption. This stage is also referred to as the “family and friends” stage.
The Goguen era follows with a simplification of the platform to allow smart contracts to be created by people with less technical exposure.
Basho, the third stage, is anticipated to introduce parallel accounting styles with the ability to switch between account models added using sidechains.
Voltaire is the last development stage. By the time this milestone is completed, Cardano will have a treasury and voting system that will allow participants to utilize “their stake and voting rights to influence the future developments of the network.”
The Voltaire stage will also introduce an extra treasury system that will see a percentage of transaction fees set aside for development purposes.
Completion of this last stage will make the Cardano platform completely decentralized, eliminating the need for IOHK’s oversight.
To reach consensus, Cardano employs a type of proof of stake mechanism known as Ouroboros. Cardano’s algorithm requires those interested in verifying transactions on the platform to stake their ADA coins. However, unlike other implementations of proof of stake, stakers on Cardano are selected randomly.
Note that staked coins are “frozen” and cannot be spent unless they are unfrozen.
Projects involving Cardano
In February 2020, IOHK invested $500K in setting up a Cardano research lab at the University of Wyoming. The lab seeks to boost activities on the smart contract platform.
In 2019, Cardano’s creator hinted at a partnership with New Balance, a shoe company, to help it eliminate counterfeit merchandise. However, the shoe company is yet to acknowledge or deny such a partnership.
Other partnerships involving Cardano involve PriceWaterhouseCoopers, ScanTrust, Polymath, the Ethiopian government, among others.
In the cryptocurrency sector, partnerships attract price speculation of the particular crypto project.
What will Cardano be worth in 2021?
In 2020, a Cardano price prediction indicates a positive outlook. After the ADA price recorded a 54 percent drop in March, the price has since shed off the negative vibe, and its investors may have something to smile at, again. ADA closed the month of April with a 48 percent increase to record a price of $0.047 with signs showing a bull run may be imminent. Currently, Cardano is exchanging hands at $0.10, which further evidences the bullish momentum portrayed. Its appreciation into higher ranks is likely to be boosted by a recent research that placed Cardano (ADA) on the lead in terms of adoption and technology.
IOMAP (In/Out of the Money Around Price), a model by IntoTheBlocks, indicates that 2,700 addresses hold approximately 2.5 billion ADA coins. It further shows that the addresses stocked their reserves when ADA‘s market price was hovering between $0.056 and $0.057. The model further shows that more than 71 percent of addresses currently holding ADA is in it of the money because they bought when the price was low and will make a profit when they decide to sell later.
After ending January 2021, consolidating at the $0.350 mark, Cardano price started February 2021 with strong bullish momentum as the price quickly broke above the $0.400 mark towards the end of February 1. After briefly consolidating below the $0.450 mark, the bulls continued the rally raising the price above the $0.500 mark. Currently, Cardano price is trading at the $0.550 price level but faces resistance in closing above the level.
What do other ADA coin price prediction platforms say?
A technical analysis by LongForecast, an automated crypto predictions website, places the price of Cardano in the beginning price at 0.34 Dollars. Maximum price $2.28, minimum price $0.34. The average for the month $1.23. Cardano price forecast at the end of the month $1.94, change for February 470.6%. The other months are given in detail on the chart below.
Another crypto price forecasting platform, Wallet Investor, sees Cardano price in the following manner:
The price of Cardano may drop from 0.9067 USD to 0.80086 USD. The change will be -11.673%. According to WalletInvestor, Cardano is not expected to grow for this year and could crash.
Fortunately, it’s not all bearish for Cardano. CoinSwitch’s Cardano price prediction 2021. Over the fourth week of January, Cardano’s price surged by 100% overtaking Bitcoin Cash and becoming the sixth largest cryptocurrency. However, the surge is influenced by two significant factors: the very obvious being the Bitcoin rally and the second factor being all the exciting upgrade like the release of functional smart contracts that are lined up on the network for 2021.
Also, ADA price prediction by Cryptonewsz, after assessing Cardano’s commitment to the development roadmap, places the coin’s price at $1 by the end of the year.
DigitalCoinPrice.com puts the price appreciating sharply, with ADA trading at an average of $0.72 in 2021, $0.98 in 2023, and $2.54 in 2025.
From TradingView, we get a most positive prediction for 2021. Cardano’s native currency ADA has been on aroll since the beginning of February seeing a price increase of over 100 percent since the beginning of the month. One outlook is that
ADA pumped hard these past few days, however does it still have enough fuel in the rocket to go to it’s old ATH of $1.4?
The daily indicators show no sign of weakness as of now and volume looks good. However if we fail to move pass $0.90 cents then we may be in trouble as on 4h timeframes MACD and RSI show a bearish divergence which will be confirmed if we lose momentum at this resistance level .
The longer we stay under this resistance the more concerned you should become, however, the chart shows we have quite a bit of space for price to move and remain bullish with good support at $0.55 and a weaker support at around $0.72. As long as we don’t lose $0.55 level around break the parabola we’re safe.
Most alternative coins have been on a roll lately, perhaps led by Binance Coin’s surge of 260% in less than two weeks to above $145. However, some have also stalled or slightly retraced since the 2nd week of February. Ethereum is 4% down to below $1,750. Bitcoin Cash (-1.3%), Chainlink (-2%), Litecoin (-4%), and BNB (-17%) are also well in the red.
Cardano is the most impressive gainer from the top 10 with a 15% surge. As a result, ADA has arrived at a new 3-year high and has come less than 10% away from reaching $1.
While decentralization has been the biggest talking point of the crypto industry in the past year, only a handful of networks have actually taken concrete steps to become fully community-owned and operated.
IOHK, the company behind Cardano, is set to give up all control over block production on the network on March 31st., when the d-parameter will go down to zero. The d-parameter is a metric used to represent the percentage of blocks that are produced by IOHK. When Shelley, Cardano’s staking era, was launched last year, the parameter was set at 1, meaning that 100 percent of the blocks on the network were produced by the company.
How much will Cardano be worth beyond 2021?
While most Cardano price predictions in 2020 have a bearish/bullish bearing, the Cardano price beyond 2020 encourages ADA investors to keeping hodling and refiling their bags whenever they have a chance.
CoinSwitch predicts that the cryptocurrency will be worth $2 at the end of 2023 and a 6,500 percent increase by the time we arrive in 2025.
Mrvyasidea.com has an even more bullish Cardano price. In 5 years, the site predicts, Cardano (ADA) will be exchanging hands at $5. However, for the cryptocurrency to record such a massive price appreciation, the platform’s developers must strictly follow the project’s roadmap.
LongForeCast, a popular cryptocurrency prediction site, projects that ADA will start trading at $17.86 in 2021 and close the year retailing at $26.32. The platform also has a USD price prediction for Cardano of $50.00, $23.81, by the end of 2022 and 2023, respectively.
Unfortunately, the ADA coin’s future is not bright all through. Some platforms have a bearish ADA price prediction. For instance, LongForecast, despite having a highly bullish prediction for the crypto past 2020, it has a bearish side of the prediction. Its bearish view puts ADA coin price at an average price of $0.058 at the beginning of 2021 and an average of $0.041 at the end of the year. In 2023, LongForecast predicts that the price of ADA will reach a low of $0.042.
Will Cardano reach $10?
While this is possible, the timeline for reaching such highs cannot be guaranteed.
According to CoinSwitch:
“It might take some time, but it can reach if the development happens as per the roadmap.”
Also, if the ratio between Cardano (ADA) and Bitcoin (BTC) is something to go by, BTC will need to retail at around $1.6 million for ADA to exchange hands at $10, if this ratio stays constant.
Cardano price prediction: can Cardano hit $100?
Well, to hit this price, the Cardano Foundation will have to do more than just follow the road map.
Although this price isn’t completely unachievable, it will require a high level of adoption.
One aspect that Cardano might rely upon to reach such a high value is its superior third-generation technology. This, with time, will help the cryptocurrency to claim its rightful place in the cryptocurrency market.
What makes Cardano a good investment?
Despite some Cardano price predictions being bearish and some overly bullish, here’s why it can be considered a noble coin to investors.
Cardano, unlike Bitcoin, is based on extensive academic research and employs Haskell, a programming language hailed for its security. In the long-term, this feature is bound to attract investors from other cryptocurrency projects lacking a solid base.
Ease of use
From the onset, Cardano developers made it clear that the platform is being primed to be usable by both ordinary users as well as developers. This feature is meant to remove hurdles encountered by developers and users of smart contracts such as those developed on the Ethereum platform. As such, the ADA platform will continue attracting traffic, consequently ramping up the price.
On the Bitcoin platform, transaction fees are determined by the congestion on the network. This has caused transaction costs to rise exponentially. With the recent Bitcoin halving event reducing mining rewards, miners may soon start relying on transaction fees.
Ethereum, on the other hand, is also a culprit of high transaction fees. However, Cardano aims at making transaction fees on its platform to be almost negligible. This is likely to add one more reason why investors should invest in ADA.
Apart from transaction fees, Cardano is also scalable. With leading blockchain projects like Bitcoin and Ethereum struggling with scalability issues, Cardano’s developers anticipate that once they are done, the platform will be able to handle one million transactions per second.
Hoskinson thinks his platform offers more than Ethereum saying:
“All core protocols of Cardano are better than what Ethereum 2.0 will be once it is finished in every category.”
Areas Hoskinson hails Cardano for being ahead of Ethereum include the platform’s Byzantine resistance, how governance issues are handled, system updating, network design, and a superior consensus protocol.
First, Cardano is surrounded by three entities that work together to see that its users get the best out of the platform. The team comprises of scientists, developers, and engineers. The ADA team allows peer-review of all the tasks performed on the platform, which promotes transparency.
However, with Cardano being a work in progress, and the stiff competition in the cryptocurrency market, some may argue whether ADA is a good investment.
From the above Cardano price prediction outlook, the future market for ADA looks bright. For instance, ADA was up 10.4% as of Monday afternoon and is up roughly 311% since the start of the year. Also, a five year ADA market trend puts the coin at between $1 and $5. On whether Cardano is a good investment, it’s important to note that cryptocurrency price predictions are only estimates.
Consider that on 9th February Cardano (ADA) and Polkadot (DOT) became fourth- and fifth-most valued crypto assets, respectively, after they both surpassed XRP in market capitalization the day before. The rise in demand and the consequent rise in value are attributed to the recent rally in decentralized finance (DeFi) and the increased cost of using the Ethereum blockchain.
Being a cryptocurrency, and with cryptocurrency prices frequently fluctuating, ADA can hit or miss the predicted price mark. IOHK CEO Charles Hoskinson have high expectations and expects it to beat out Ethereum 2.0. If that holds true, it could mean major price increases are on the way for the cryptocurrency in the future.
However, considering the commitment of the team involved, the applications of the platform will handle once complete, and the superiority of the blockchain project, it’s unlikely Cardano will lose its place in the cryptocurrency and blockchain market. As such, investors should be in it for long-term