buying Cardano on a possible price reduction after the hard fork :: RBC.Crypto
Senior Analyst Bestchange.ru Nikita Zuborev on the prospects of one of the main competitors of Ethereum at the moment
The opinions of experts may not coincide with the position of the editorial board. RBC-Crypto does not provide investment advice, the material is published for informational purposes only. Cryptocurrency is a volatile asset that can lead to financial losses.
Cardano is quite an ambitious and promising project. The creators themselves consider it a third generation blockchain platform. The main task of the ecosystem is defined as preserving the positive aspects of previous generations (the first – Bitcoin and the second – Ethereum) and correcting their shortcomings – the problem of scaling and energy intensity.
The Cardano blockchain is powered by an improved Proof-of-Stake algorithm with faster performance and Ethereum compatible smart contracts.
Historical background:
The project has existed for over three years. At the end of 2017, against the background of a general growth in market capitalization, the ADA project token, like many top altcoins, already demonstrated parabolic growth, which pushed the price up to $ 1.33. But the “crypto winter” that began almost immediately after this dragged the cost of the token below $ 0.10, where it remained for more than two years. But thanks to the first significant update since the successful integration of the Shelley hard fork in July 2020, ADA has become one of the highest ROI tokens in the last year.
What’s happening now:
The native token of the ADA crypto project has long been among the leaders in the rating by capitalization, but the latest news about the success of the project brought the token to the 3rd line of the rating. In terms of capitalization, the project is second only to two industry mastodons – Bitcoin and Ethereum.
In the last year, Cardano, thanks to a noticeable number of positive news events and an increase in prices, managed to attract the attention of not only retail investors, but also institutional ones. Large venture capital funds and billionaires allow the project to strengthen its leadership among young crypto startups.
Project prospects:
Cardano has a solid development team with a good reputation in the industry. The founders of the project are two very famous former developers from the Ethrereum ecosystem.
Cardano’s new growth cycle may be associated with the next stage in the development of the ecosystem. If the project continues to develop according to the roadmap, then the token price has a chance to significantly surpass previous price records in the fall of this year.
If the current demand persists, the ecosystem continues to develop, and the crypto market environment is positive, ADA may approach the $ 5 level by the end of the year.
Purchase plan:
On September 12, the launch of the Alonzo update will take place, which will add smart contracts to the ecosystem, thanks to which Cardano will be able to host decentralized applications and begin to compete with Ethereum on the DeFi and NFT field.
However, this is a well-known fact and the positive effect of this factor is already included in the current price of the token. Because of this, there are risks of an imminent decline in the value of the coin, which for many investors may be a good opportunity to open new long positions in ADA.
It is worth closely monitoring the market situation and news around the project in the coming days. At the first opportunity, you should add this promising token to your portfolio.
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Text source: MCC.EXCHANGE
