Cardano has been losing its prominence with each passing day. The bears have been thwarting the rise of the network. Such that critics have been relating it with the stable coins. Cardano price has been range-bound ever since the Alonzo hard fork upgrade. Which was expected to be imperative for the protocol, helping the platform to upheaval the industry.
The makers are looking forward to incorporating amendments, which could further empower the protocol’s privacy and security. This is in addition to the events in the pipeline for the week. The collective effort of which should have helped Cardano price surge higher.
Will This help Cardano Transcend Its Tale Of Woes?
Cardano founder Charles Hoskinson, in his recent AMA session, mentions the proposals of a few reforms to the network. That will empower the security and privacy of the protocol. Hoskinson intends to introduce the proxy keys.
The blueprint is to integrate three keychains, which are the spending key, voting key, and staking key. He further remarks that the aim is that the user would sign a transaction. That would allow those keys to act as a representative of the original keychain.
The two major events in the pipeline, as Coinpedia had earlier reported. Are imperative for the platform to escalate amongst fellow platforms in the industry. Howbeit, the digital asset shows little to no signs of resurgence from the current levels.
Cardano (ADA) Price Analysis
ADA at press time is trading at $1.79 with gains being negative by 1.5%. The market cap of the digital asset is currently hovering around $57,373,748,709. While the trading volume for 24-hours is at about $1,367,816,450. The digital coin is negating in a narrow range between $1.76 and $1.84 since the previous day.
A proponent from the industry illuminates the price movements of ADA. From the chart, it is evident that the digital coin has broken the support line, and is trajecting southward. While forming lower-highs and lows on the chart. The altcoin needs to break above the downtrend resistance line, to chug towards the resistance at $2.014.
Which could result in a cup and handle formation. But the initial objective would be to break above the resistance line. On the flip side, ADA prices might fall to levels around $1.6051. If the bulls fail to tow the digital asset above the resistance line.
Collectively, Cardano desperately needs a major push that could help fuel its bullish leg-up. The network has stuck in a rut, despite its fundamentals. While the crypto street has seen altcoins with little utility outperforming major assets. Hopefully, the blockchain witnesses growing impetus with the start of the altseason.
Cardano Past and Present Challenges in the Crypto Industry
- Smart contracts and network scalability has been Cardano’s challenge.
- Despite this, Cardano (ADA) is still showing an impressive performance in the market.
Cardano (ADA) has been through a mix of positive and negative downsides since its inception. Starting from the past, it has been striving to get a smart contract for smooth platform functionality. Also, apart from this, one key thing that Cardano has faced is scalability, according to a report.
However, this makes people keep doubting how Cardano claims to be an Ethereum killer and also a third-generation blockchain. This was seen from the time that the Cardano team started to fight for smart contract acquisition to make the network stand out among the odds in terms of network scalability.
Cardano has already made a significant step forward by tackling some of its challenges. This includes the implementation of the Alonzo Hard Fork Upgrade, Basho, Mamba, and other network extensions for betterment. Seemingly, all these appear not to serve as a catalyst to solve Cardano’s underlying tragedy.
Mention to the community what are technical challenges openly but not in a sense of FUDing but rather that some solution needs to be found. This could also be a good thing because some community members in the spirit of the decentralized brain could start looking for solutions (research) or even start implementing them (development).
Nevertheless, regardless of all these, Cardano is still showing an absolute performance in the market. It keeps climbing ranks while rocking new all-time highs. At writing time, ADA price trades at $1.56 with a market capitalization of over $50 billion on Coingecko. This makes it ranks as the 6th largest cryptocurrency in terms of market cap.
Cardano (ADA) Down 50% from Peak: Possible Reasons
Largest proof-of-stake network sees its token in multi-week painful decline.
ADA, a core native asset of the newest smart contracts platform Cardano, touched $1.5 in its multi-month freefall. Here’s what makes it plummet before gaining 200% in five weeks.
ADA loses 50% since early September
On Sept. 2, 2021, the ADA price reached its all-time high at $3.10 on the eve of the activation of its smart contract functionality. This major upgrade went live as a result of Alonzo hard-fork mainnet activation in mid-September.
At the same time, its activation failed to catalyze another wave of ADA price rally: the asset entered a multi-week “bear market.” On Nov. 26, 2021, it reached the lowest level since Aug. 9.
The most obvious mid-term catalyst is the criticism of Cardano’s smart contracts performance. As covered by U.Today previously, the viability, speed and functionality of this system were attacked by both Ethereum (ETH) and Bitcoin (BTC) maximalists.
In terms of short-term bearish catalysts, the most obvious one is the delisting of Cardano’s ADA by eToro, a mainstream derivatives trading platform. eToro restricted its U.S. customers from opening positions in ADA and Tron’s Tronics (TRX) from Dec. 26, 2021.
Will ADA see another rally in 2022?
Cardano’s inventor, Charles Hoskinson, has already slammed eToro’s decision and attributed it to the lack of a global regulatory standard in the sphere of crypto and blockchain.
As U.Today reported earlier, Mr. Hoskinson is certain that 2022 will be a splendid year for his ecosystem. Speaking about its roadmap for the coming year, he called it a “living ecosystem.”
He calls Cardano’s technology unbelievable and claim
Red Alert In Crypto Space, Cardano Price Trembling Yet Remains Bullish
Crypto space witnessed a replica of a May crash but with lesser intensity. Bitcoin price is hovering between $53,800 and $54,400. However, some assets stood strong above their support levels like Ethereum & Cardano.
Despite the bearish trend prevailing in the short-term, yet the ADA price still remains bullish in the higher time frame.
Cardano price maintained a substantial downtrend ever since the beginning of the present trading day. In the daily chart, the asset has formed a double-bottom and was expected to surge high slicing through the neckline.
But the asset was rejected at the neckline in the last few hours of the last trading day. ADA price dumped nearly 15% ever since then, however, it’s also attempting to rebound.
3rd Cardano sell-off is going on since the early hours of the Asian trade. The dump dragged the price much below the 200-day MA and extended the gap between the strong resistance levels around $2.5.
A major reason for the sell-off is speculated to be the pandemic FUD circulating in space. However, the retracement is expected to be well in place as more than 70% of ADA is staked and keeping only 30% in circulation is pretty bullish for the asset.
Exactly a year ago, the Cardano price was around $0.03 and the asset was surrounded by immense FUD. However, the ADA price didn’t stop then and may not stop now also.
Collectively the asset maintains a substantial rally ever since it faced an extreme sell-off in September. Yet the strong support levels still reside around $1 and the asset is still bullish until the asset sustains above these levels.