- Cardano has seen massive growth in the number of projects, investors and on-chain activity.
- The Ethereum-killer suffered a correction with a hidden bearish divergence in the Cardano price chart.
- Analysts believe a spike in trading volume could push Cardano price above 200-day EMA, set a target at $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.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
VanEck sees Bitcoin reaching $61 trillion market cap, Marathon buys $100 million BTC
Bitcoin declined by 1% on Thursday following asset manager VanEck's forecast that the top digital asset will reach a $61 trillion market capitalization by 2050.
Ethereum Classic price sets for a rally following retest of key support
ETC edges higher by 2.3% and trades around $22.60 at the time of writing on Friday after testing a key support area the day before. On-chain data showing increased account growth suggests a bullish move ahead. Ethereum Classic price faced rejection by the daily resistance level of $25.13 earlier this week.
Celebrity meme coins lose their shine
Celebrity meme coins report by Jupiter Slorg on Thursday shows that these tokens have been in deep waters since early July after experiencing heavy growth in June. In a recent analysis, Jupiter Slorg revealed that celebrity meme coins are down by an average of 94% from their all-time highs.
Ripple gains 5%, Mark Cuban says Kamala Harris’ nomination could affect SEC lawsuit
Ripple (XRP) made a comeback above key psychological resistance early on Wednesday. Crypto traders are optimistic after the Ethereum Exchange Traded Fund (ETF) launch. Entrepreneur and investor Mark Cuban recently shared his comments on how Kamala Harris’ nomination to the Presidential elections could influence crypto regulation.
Bitcoin: Will BTC manage to recover from recent market turmoil?
Bitcoin recovers to $67,000 on Friday after finding support around $63,500 a day before. Still, BTC losses over 1.50% on the week as Mt. Gox persists in transferring Bitcoin to exchanges.