Cardano has seen an impressive 9% price increase in the past 24 hours, reaching $0.374914 as the cryptocurrency market has gained 1% during the same period.
ADA’s current price means it is up 9% over the past week and 13% over the past fortnight, although it is down 6% over the past 30 days.
However, with the overall value of Cardano continuing to grow, and the growing demand for the Djed stablecoin, it is likely that ADA will see continued growth in the coming months.
This is made more likely by the fact that ADA is significantly undervalued, with today’s rally likely being caused by large investors buying altcoins at a discount to sell later.
Cardano Price Prediction As ADA Becomes One Of The Best Performing Assets In The Market – Are Whales Buying?
ADA’s chart shows that today’s rally is likely to continue in the near future, given that its indicators are still not in an overbought position.
Its Relative Strength Index (purple) has jumped from 30 in early March to around 60, indicating increasing buying pressure that probably won’t go away until it moves above 70.
Meanwhile, ADA’s 30-day moving average (red) is still below its 200-day average (blue), and has yet to start moving higher.
Hence, there is a lot of momentum left for ADA, which is currently struggling against the $0.38 resistance level.
If it breaks this price it could see more gains, something that stems from the fact that it has been undervalued and oversold for the best part of the year.
This is probably the underlying reason for today’s rally, at the moment there is no clear development or news to propel ADA ahead of other coins.
And despite the apparent rally today, there is no credible data to suggest that whales are buying the altcoin, even though its large price increase may suggest so.
Nevertheless, ADA is expected to continue to see steady growth because of Cardano, which itself continues to see greater adoption and use as a layer-a smart contract platform.
In fact, Its total value is locked at $134 million$100 million in early February and over $49 million in early 2023.
This is an indication of how quickly Cardano’s ecosystem of apps is growing, with the platform now building over 1,200 projects on its network, with over 110 already launched.
On top of this, work to develop its network continues apace, with Cardano often ranking near the top of platforms for GitHub development activity.
A big reason for Cardano’s steady rise in recent months is the DZ (DJED) stablecoin, which was launched in February.
So far, Z’s Reserve has taken 33.4 million ADA out of circulationand have seen increasing demand between Issues with USDC and other stable coins.
Needless to say, the more DJED that is issued, the more ADA will be used as reserve currency.
In turn, this will result in a decrease in the supply of ADA relative to demand, meaning that prices are likely to rise steadily as Z increases.
Cardano has also benefited from several updates in recent weeks, including an upgrade from February that increases Cardano’s interoperability with other chains.
With Djed and its growing ecosystem, interoperability with Ethereum, Bitcoin, and other chains points to increased use of Cardano in the future, which can only be good for ADA price.
For this reason, there is a real possibility that ADA could return to $1 by the end of the year, although Analysts are selecting an average 2023 price target of $0.459Which looks to be well within reach at the moment.
Is now a good time to invest in ADA?
Given that ADA’s valuation is still low, this is definitely a good time to invest in altcoins, although it could take several months (if not longer) for the coin to see a really big spike.
For this reason, traders may prefer to look elsewhere at the moment, with several other high-potential tokens promising big gains in the short term as well as the long term.
and to help make decisions, cryptonews The Industry Talk team has assembled a selection of the top 15 cryptocurrencies to keep an eye on in 2023.
The list is updated weekly with new altcoins and ICO projects.
Disclaimer: The Industry Talks section features insights by crypto industry players and is not part of the editorial content of 0x0news.com.
