There’s so much going on in the cryptocurrency space that can confuse a newbie. Firstly: how can Elon Musk’s public diss with Bitcoin cause a sell-off and halt the growth of some of the top tokens? Considering that the market was doing so well before the hullabaloo, the whole drama is a bit overwhelming.
Even when some of the most popular cryptocurrencies plunged, a few gained value. In the top ten rated cryptocurrencies, Cardano was the only coin that gained when that happened. The network even took advantage of the opportunity to seek more popularity when it publicly reached out to Tesla to partner with them.
Currently rated as the fifth most valuable cryptocurrency in the world (it was in the fourth position a few weeks ago), what does the future hold for Cardano? Considering, also, that it is one of the most affordable high-ranking cryptocurrencies on the market, will it make a good investment?
Are you considering investing in Cardano? Are you hoping to make a long-term investment on the coin? Do you want to be sure that the coin can make you rich in ten years before making a commitment? You have found yourself the right post that can guide you to an informed decision.
Here, we will discuss everything you need to know about Cardano in order to make an informed decision about a long-term investment in it. Read carefully with open mind as we go hard and deep.
What Is Cardano?
Cardano is a proof-of-stake blockchain platform that is focused on bringing about positive global change. The Cardano ADA is a relatively new cryptocurrency launched to be better alternative to Bitcoin. While it is still far distant from what Bitcoin has achieved in terms of value and market capitalization, it is gradually gaining ground in real-world application.
If you look at what Cardano is trying to achieve, it will be difficult to discuss what it stands for in just a sentence or two. The founder and CEO of IOHK (The research and development company responsible for Cardano), Charles Hoskinson, calls it the “Swiss army knife of protocols.” It is highly regarded for its ability to solve real-world problems.
Like other cryptocurrency networks, Cardano has a native coin, which is called ADA (named after the 19th century mathematician and inventor, Ada Lovelace). The network itself is a platform where individuals and businesses can build applications that address specific problems. Cardano is backed by IOHK, The Cardano Foundation, and Emurgo.
Cardano, as a platform, has been used for various projects that solve real-life problems. It has been used for preventing counterfeit medicine and also to enable access to microfinance. The network offers lots of opportunities for people to execute projects that improve the world we live in.
Coming back to the Cardano ADA, it is a cryptocurrency and native digital currency of the Cardano network. It was launched through an ICO (initial coin offering) in September 2017. The founder and his team wanted to create a network that valued security and privacy, and also meet regulatory guidelines.
What Makes Cardano Different?
Most cryptocurrencies claim to be different from the others in one way or the other. Cardano is no exception. However, Cardano is truly different from others in some ways. One of the biggest difference between the crypto and others is that it maintains a two-tiered network. The major advantage of this is that it offers faster transaction time than most other cryptocurrencies.
The Cardano’s multi-layer protocol is well-developed and can perform advanced functions. At its foundation, it has a settlement layer that is linked to a control layer. While the settlement layer has a unit of account, the control layer run smart contracts. It is also well-programmed to recognize identity, and this helps to assist compliance.
While compliance is at the root of the Cardano network, the platform still prioritizes the privacy rights of users. It will protect privacy rights, while taking into account the needs of regulators. This uniqueness is one of the major reasons Cardano is seen as a potential mainstream cryptocurrency. Its regulatory-friendly nature works makes it ideal for mainstream adoption, and its privacy features appeal to users.
Cardano’s Price History
Cardano was launched through Initial Coin Offering that started on January 9th, 2015 and ended on January 1st 2017. During the ICO, the token, ADA, was sold at $0.02 per token. The project raised $62.2 million to complete the initial funding.
Though it should be considered as volatile as any other cryptocurrency, the ADA has been relatively stable over the years. It has risen and fallen several times, but not as dramatically as most other cryptos. The coin closed 2017 at $0.59, which is a decent rise from the ICO price.
ADA started 2018 on a good note. As at January 2nd, 2018, it was worth $0.757. However, it started dropping few weeks into the New Year. By February 7TH, it sold for $0.333, and by April 5th, it has dropped to $0.152. By August 2018, the coin was worth just $0.125 and by September 23rd, it sold for $0.0873. It eventually closed the year at a disappointing $0.04148.
There was nothing spectacular about Cardano’s price in early 2019. By January 12th, it was worth $0. 04174. It started recovery by March, and by May 15th, 2018, it was worth $0.093. By the first week of September, the coin returned to about $0.0455 per coin. It closed the year at $0.03328.
2020 proved to be the special year for Cardano. The coin started the year at about 0.034 but gained value slowly but steadily. It was worth $0.05 by February and climbed to $0.14 by July. September and October saw the coin side to $0.09, but it bounced back after a little while, closing the year at $0.18 per coin.
2021 has been a spectacular year for Cardano. The ADA started the year at about $0.38 but by February, it witnessed a surge of nearly 100% within 7 days to break the $1 mark. It eventually reached $1.35 that February. It dropped a little afterward, and by April 1st, it traded for $1.19.
Even when the rest of the crypto universe started losing value, Cardano defied the odds. May, 13th was a memorable day as the coin got the $2 monkey off its back. On May, 16th, the coin reached a high of $2.46. The price has dropped to $1.05 in July, but then started rising again to hit the all-time high of $3.10 in September.
Cardano’s Current Performance
According to CoinMarketCap, the price of Cardano (ADA) at the time of writing this piece is $1.02. Its 24-hour high and low are $1.01 and $1.07 respectively.
Cardano currently has a market capitalization of $34.5 billion at the time of this post, making it the number 6th ranked cryptocurrency in the world. It has a circulatory supply of 33.57B ADA coins and a maximum supply of 45,000,000,000 coins.
ADA is traded in most of the cryptocurrency exchanges, including Binance, Coinbase Exchange, Huobi Global, and Kraken. The coin may be a little bit away from the all-time high at the moment, but there are strong indications that it will bounce back and continue to rise in the future.
Cardano’s Price Prediction
In April, when Cardano was trading at $1.18, a few cents away from its former all-time high of $1.3, many did not believe the prediction that it will beat reach $2 so quickly. The coin, which some people nicknamed Ethereum’s Little Brother, has a blueprint that is similar to Ethereum. However, it is yet to grow at the rate of Ethereum.
Cardano’s latest surge is also linked to the launch of the Alonzo Hard Fork - an upgrade that now allows for smart contracts to be deployed on the network. Most experts are predicting that the coin will continue to grow, regardless of whatever is happening to Bitcoin and other elite coins. But we can’t deny the similar pattern in Cardano and Ethereum.
In the past few weeks, ADA’s price has remained inside the support and resistance levels at $1 and $1.50. The sideways movements are indications of stability. Many experts are predicting that the coin will reach the $3 mark again by the end of this year.
Cardano has also been projected to reach $1.3 in 2022, $1.85 by the end of 2023, and $2.5 by 2024. There is also a good chance that the coin will have a bullish rise in 2025. Expert predictions have it that the coin can reach an impressive $3.15 in 2025.
Most predictions for Cardano are in the positive line. Though there are a few negative predictions, they are not from authority websites of market experts. Considering the history of the coin and the trends in the crypto space, the predictions above are pretty believable. You should know, however, that cryptocurrencies are volatile, and prices will continue to rise and fall. Predictions may also fail.
Where Will Cardano Be In the Next Ten Years?
Long-term predictions are often not as accurate as short-term predictions. However, you need to consider where Cardano will be in the next ten years, especially if you are planning to use the HODLing investment strategy.
From all indications, Cardano is likely to rise over the years and become a lot more valuable in the next ten years. Many websites have also predicted positively for the coin.
A reliable prediction website, Crypto Rating, has also predicted that ADA will trade around $10 in the next ten years. The site also predicts that Cardano will weather a bearish trend that will hit the cryptocurrency industry between 2027 and 2030.
Wallet Investor is a little more confident than Crypto Rating when it comes to the long-term future of Cardano’s ADA. The site is predicting that the coin will cross the $7 mark by 2025. It is even predicting that it will reach $9 by 2027.
DigitalCoinPrice is probably the least enthusiastic site when it comes to Cardano’s upward trend. According to their technical analysis, the ADA will sustain an uptrend that will see the coin only reach $4 by 2027.
Top Reasons to Invest In Cardano
Are you considering investing in Cardano? It can be a really good idea, but you need to have tangible reasons for that and not make a decision based on sentiments alone. Here are some of the reasons you may want to invest in Cardano:
There Is Prospect for Rapid Adoption
The Cardano ecosystem offers users huge opportunities to solve real-world problems. It has been used to complete a good number of successful projects, and many more projects are likely to come through.
There is a good chances that businesses and individuals will continue to adopt Cardano, and this will improve its value tremendously. It has already found use in agriculture, education, and manufacturing sectors. Most experts also predict that it will achieve even faster adoption across many sectors in the near future.
DeFi Will Likely Explode In the New Future
Cardano is part of the Decentralized Finance ecosystem that is fast becoming an industry of its own. DeFi, as the sub-sector is currently called, will likely explode in the near future. The potentials are enormous, and Cardano is one of the networks that will benefit from the expected explosion.
Cardano Has an Experienced Development Team and Is Backed By Three Solid Entities
The primary founder of Cardano, Charles Hoskinson, is a seasoned crypto expert. Before embarking on the Cardano project, he worked on the Ethereum platform and is credited as a co-founder. He was also involved with Bitshare.
Charles Hoskinson serves as the head of the development team at Cardano and has several wonderful people as members of his team. Cardano is currently backed by IOHK, The Cardano Foundation, and EMURGO.
It Offers Substance over Hype
While most cryptocurrencies thrive on hype, Cardano offers substance. It is quite scalable and very secure. It also prioritizes the privacy of users, while trying hard to stay compliant with regulatory issues. It is also one of the cryptocurrencies that are truly environmentally friendly, one of the reasons it may win the heart of Elon Musk and many other investors and businesses around the world.
It Is Still Favorably Priced
Cardano is currently one of the best-priced valuable cryptocurrencies in the world. Compared to coins in its level, it is an affordable investment option at less than $2 per coin. Even if you do not have a deep pocket, you can buy a sizeable Cardano investment now. We can’t confidently tell what the price will be in the future, but a sharp rise will be in the interest of people who have invested already.
Why You Should Think Twice Before Investing In Cardano
Cardano appears to be a solid platform with a valuable yet affordable token. From all indications, the platform will grow bigger and better in the future, and ADA, the native currency, will become more valuable with time. However, there are reasons you may want to look closely before jumping into the bandwagon.
The first major issue with Cardano is a general issue with all cryptocurrencies – they are highly volatile. Though predictions work many times, you can’t just depend on them. The values of cryptocurrencies are based on many factors, but most activities on the market are based on speculations.
Cardano is also a relatively new cryptocurrency. Again, its ambitions appear to be too big. There are also lots of competitors currently, and we expect similar platforms and digital coins to hit the crypto universe, going forward.
How Do You Invest In Cardano?
Like other cryptocurrencies, the best way to invest in Cardano is to buy the token with either fiat currency or a digital currency. It is basically exchanging your money or another digital asset for ADA, and you can do that on many cryptocurrency exchanges.
Once you have access to ADA coins, you can be involved in short-term trading or long-term trading. The goal is always the same – to buy the coin at a lower price and sell when prices are higher and profitable. If you are hoping that the coin will make you rich in the next ten years, HODLing will be the right strategy for you.
HODLing simply means holding on to your cryptocurrency for years. When you use this strategy, you can be lucky to see the coin rise significantly and fetch you massive returns. There is also a chance that the value of the coin you purchase will dip further in years to come, resulting in loss.
Should You Play The Long-Term Game With Cardano?
If you are asking whether Cardano will make you rich in ten years, then you are planning to play the long-term game with the coin. We have discussed some important issues that should help you make the right decision.
Cardano is relatively new, but you can learn a thing or two from its price history. The coin has been rising and falling over the years, but it has suddenly picked up and is now considered as a capable force in the cryptocurrency universe. Expert predictions also favour the coin.
One important thing to note about Cardano is that it appears to grow sluggishly. Even some of the most positive insiders are not seeing the coin reach $15 in the next ten years. The coin can fetch you a decent return in the next ten years, but it doesn’t look as if the price will suddenly jump so much that a little investment will yield much. It is growing at a decent rate, and the reward of your long-term investment may be decent, at best.
Investing In Cardano? Do It the Smart Way
If you are an experienced cryptocurrency trader or investor, you will know the various approaches you can use. For beginners, however, we always recommend working with trustworthy brokerages. eToro happens to be one of the best platforms to start your investment journey.
Regardless of your experience level in cryptocurrency trading and investment, you can still enjoy the many benefits of working with a full-service brokerage while investing. It is the smart way of investing and can help you save money on the long run.
eToro – Best Platform to Buy Cardano
eToro have proven themselves trustworthy within the crypto industry over many years – we recommend you try them out.
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