What Cardano price needs to do to break out to $1.60

Cardano price has suffered a recent pullback, as 3.4 million addresses were underwater. Nevertheless, analysts have predicted a recovery in Cardano price, and set target at $1.60. 

Cardano price sets eyes at $1.60 target

Ethereum-killer Cardano is on track to recover from the recent price drop as the altcoin attempts to rise above the 200-day EMA. There has been a consistent growth in Cardano’s on-chain metrics, the number of wallet addresses holding ADA, dApps on the network and trade volume on its blockchain. 

Proponents believe the recent drop in trade volume influenced Cardano price negatively. Based on data from crypto intelligence platform IntoTheBlock, 3.4 million Cardano addresses were underwater when the altcoin plunged to the $1 level. 

11% of Cardano investors that held ADA for over a year, 1.25 million to be exact, remained profitable, while a vast majority suffered losses at the current price. 

The number of projects on the Cardano network has increased, hitting a total of 1000 on the blockchain. Cardano aims to optimize its ecosystem with the fast-approaching launch of Hydra. 

Currently, over 47% of projects on the Cardano network are NFT collections, and with the fast adoption of the metaverse, this number is likely to increase, driving capital inflow to the ADA ecosystem. Historically, a rise in inflow fuels a price rally in the Ethereum-killer. 

Analysts have evaluated the Cardano price trend and predicted a recovery in the altcoin. FXStreet analysts believe Cardano price is holding up after staging a breakout with an Adam and Eve formation, producing a higher high. Selloff above the $1.18 level triggered the recent pullback in Cardano price. Cardano’s volume profile could save the altcoin from further losses and push it on track to the $1.6 target.