At $0.50 per token, ADA is over 85% lower versus its September 2021 ATHs near $3.0.
Despite its strong fundamentals, Cardano has been brought down alongside the broader crypto bear market.
When global economic conditions improve, Cardano is likely to come back strong and could 10x by 2025.
Since the launch of the Cardano blockchain back in May 2017, it has gone on to become the fourth largest layer one blockchain cryptocurrency by market capitalization, with the total value of all circulating ADA tokens currently clocking in just below $17 billion. Whilst Cardano’s rise to prominence in the crypto space has been impressive and lucrative for its developers and early investors (ADA’s market cap has increased 30x at current prices since its launch), it’s been a bumpy road.
ADA was trading at just under $3.0 per token as recently as early September 2021 but has since shed about 85% of its value and now trades around $0.50. The driver of this pullback has been a deterioration in broader cryptocurrency markets that has seen other comparable cryptos drop a similar amount. Investors have been selling down speculative assets, which cryptocurrencies are viewed as, as central banks globally move to raise interest rates in order to dampen the recent surge in inflation, and as the global growth outlook darkens.
Cardano’s drop comes despite the fundamentals surrounding the blockchain’s future growth prospects looking very healthy. In early June, the number of projects being built on top of the Cardano blockchain surpassed 1000, Input Output Hong Kong (Cardano’s developer) said. More than 40% of these projects are Non-Fungible Token (NFT) related, indicative of a broader trend of Cardano’s growing popularity as the go-to platform for NFTs.
In June, the number of NFTs minted on the Cardano blockchain surpassed 5 million. Cardano’s proponents call it an “Ethereum killer”, owing to its much faster transaction speed (of 250 transactions per second versus Ethereum’s 15-45) and much lower energy consumption owing to its proof-of-stake (PoS) consensus mechanism.
Cardano’s development team also works closely with academics and upgrades its blockchain-based on peer-reviewed research, ensuring a level of rigour that its competitors struggle to match. At the end of this month, Cardano will deliver a major upgrade called the Vasil hardfork that with further boost speed and scalability.
All the above suggests that Cardano is very likely to remain a major player in the crypto space for the long-term, meaning it should be able to ride the expected wave of crypto adoption in the coming decade.
Outlook For ADA
If the above is true, that suggests ADA’s long-term upside prospects look very good. But would-be crypto investors should exercise caution about aping in. In late 2017/early 2018 during an explosion in the price of various smart-contract enabled cryptocurrency tokens, ADA rose about 47x in a matter of weeks from under 3 cents per token to record highs at the time above $1.30.
However, by the end of 2018, it had shed about 97% of its value. It then took until February 2021 before ADA was able to post fresh record highs. Based on prior history then, investors should mentally prepare for a drawdown this time around that could near 98% from last September’s highs, which implies a potential drop to as low as about $0.06 per token.
Whilst support around $0.40 has been holding up very well in recent weeks, macro investor sentiment remains in the dumps and could further worsen if global inflationary pressures continue to build, which would demand an even more aggressive response from global central banks. A break below $0.40 would open the door to a run towards the next area of support under $0.20.
For cryptocurrency markets to come roaring back, there needs to be more certainty about inflation and investors need to know that central banks are on the path back towards easing rather than tightening. But the global economy might not reach this point until 2023/2024.
That suggests that over the course of the rest of this year and likely a large portion of next, ADA is going to continue to struggle. But when it does come back, Cardano has a track record of coming back with fury.
As already noted, ADA increased by 47x in a matter of weeks in late 2017/early 2018. Between early 2021 and September 2021, it increased by 16x. It is perfectly feasible that by 2025, ADA could 10x from current levels.
This article was originally posted on FX Empire
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PrivaCrip to Power a Blockchain Network That Could Follow Cardano & XRP
When the first decentralised blockchain was popularised in 2008 by Satoshi Nakamoto, the door was open for people across the globe to transact more securely and seamlessly. Many blockchain networks have been built and powered by native crypto tokens, including PrivaCrip (PRCR).
Native tokens exist for several reasons. Aside from acting as digital currencies, they perform various functions. Helping blockchains improve data traceability, security, transparency, and trustworthiness shared throughout the network. They also assist in reducing costs through their ever-evolving efficient methods.
Cardano (ADA) and Ripple (XRP) are among the best blockchain-based cryptos that this article will discuss. We will also look at how PrivaCrip (PRCR) will power a blockchain network set to launch into the crypto space.
Top Tier Crypto Makes its Mark – Cardano (ADA)
Cardano (ADA) has been around in the crypto space since 2017. The Proof-of-Stake (PoS), Ouroborous Cardano (ADA), was established using a research-based methodology.
Research is the backbone of Cardano (ADA) and is integral to its success in the cryptocurrency market. Cardano (ADA) uses an evidence-driven mechanism and peer-reviewed research to run its ecosystem to drive its evolution.
Among many things, Cardano (ADA) helps establish DeFi products and provides a suite of financial solutions. Crypto enthusiasts can stake Cardano (ADA) for a chance to earn rewards for their holdings.
With 2022 providing challenges in cryptocurrencies across the globe, Cardano (ADA) is one of the few cryptos to see a surge in on-chain trading volume this year. CoinMarketCap lists Cardano (ADA) as the 7th largest crypto by market capitalization at the time of writing.
Making Waves – Ripple (XRP)
Launched in 2012, Ripple (XRP) is a leading provider of crypto solutions for businesses. Ripple (XRP) provides developers with a solid open-source foundation for executing demanding projects. It is fast, energy-efficient, cost-effective, and reliable.
The solutions provided by Ripple (XRP) enable developers to solve inefficiencies, including asset tokenization and remittance. Therefore, individuals and businesses may apply Ripple (XRP) for DeFi, payments, tokenization, and more.
Crypto enthusiasts with a long-term focus may find Ripple (XRP) a valuable investing tool. Token holders can use Ripple (XRP) for staking its mainnet platform for a chance to grow their earnings and maximise profit.
The New Face Of Privacy – PrivaCrip (PRCR)
The soon-to-launch PrivaCrip (PRCR) is a cryptocurrency built for Web3 data privacy. It will allow users to develop and use permissionless and privacy-preserving applications. This unique feature of PrivaCrip (PRCR) secures apps, protects users, and fosters the creation of many new Web3 uses.
PrivaCrip (PRCR) will drive a blockchain that creates a more empowering and inclusive internet. It will enable developers to build secure dApps using private contracts based on original privacy research (OPR) to revolutionise Web3.
PrivaCrip (PRCR) will begin pre-sale soon and has an initial token price of 0.10 USD. According to the whitepaper, there will be a total supply of 190 million tokens, of which 40% of the total supply will go to the pre-sale.
Crypto enthusiasts who purchase PrivaCrip (PRCR) during the pre-sale will receive the most significant long-term rewards and bonuses. Those who buy with Bitcoin (BTC) will receive a 10% bonus. Also, those using Ethereum (ETH) to purchase will receive 15% of the total PrivaCrip (PRCR) they purchase as a bonus.
10% of PrivaCrip’s (PRCR) total supply is up for distribution as staking rewards, meaning that token holders who stake will receive rewards for their contribution to the crypto’s advancement.
Blockchain networks are continuously evolving, and so are the crypto tokens that power them. Cardano (ADA) and Ripple (XRP) have contributed tremendously to the success of their blockchain networks, gathering mass appeal.
PrivaCrip (PRCR), for its part, will drive a security-enabled blockchain and scalability in private DeFi, empower data tokenization, and bring together a fast-growing community. Acting on its promise, it has the potential to become the next big mover in cryptocurrency.
For more on PrivaCrip (PRCR), check below:
Cardano (ADA) Withdrawal Fees Waved by Bitrue Exchange
Singapore-based cryptocurrency exchange made Cardano one of its base trading pairs earlier this year
Singapore-based cryptocurrency exchange Bitrue announced that it had temporarily waived withdrawal fees for the Cardano (ADA) cryptocurrency.
The trading platform says that the move is meant to celebrate the support it received from the community behind the cryptocurrency.
Users will be able to withdraw ADA without paying any fees until mid-September.
Bitrue has stressed that it wants users to have “as much choice as possible” when it comes to custody options. Those who want to hold their ADA tokens will not be able to do so without paying an additional commission.
At the same time, Bitrue has touted its “Power Piggy” yield-farm investment program for those who want to earn passive income with ADA.
As reported by U.Today, Bitrue introduced the token as its base currency back in February.
In June 2021, it also became the first cryptocurrency trading platform to add support for Cardano-based native tokens.
Last month, Bitrue also announced a staking initiative with the ADA cryptocurrency. It decided to contribute a million tokens to some of the top Cardano staking pools in an effort to boost the level of decentralization.
Earlier this year, SundaeSwap (SUNDAE), the native token of the SundaeSwap exchange, also became available on Bitrue.
WingRiders Losses 59% Of Its Total Value Locked, Plunges Cardano TVL Below $100M
Popular Cardano-based decentralized exchange WingRiders has lost its position as the most valuable DEX on Cardano.
WingRiders slumped from the first position to third after losing more than 59% of the total value locked (TVL) on the platform in the past 30 days.
At the time of writing this line, WingRiders is now the third-largest DEX by total value locked, with a TVL of $19.66 million. It is noteworthy that WingRiders maintained the top spot for more than two months, claiming 42% of TVL On Cardano. However, the DEX has fallen from glory ever since.
Minswap Is Now Cardano’s Most Valuable DEX
The development also affected the total value locked on Cardano. The total value locked on Cardano has fallen below $100 million in the last 30 days after the WingRiders TVL slumped.
Interestingly, Minswap has taken the lead to become the most valuable decentralized exchange on Cardano after the massive decline of WingRiders’ TVL.
At press time, Minswap is leading, with a $49.09 million total value locked on the platform. The DEX hit the milestone after recording a massive growth of 30.9% in its TVL in the past 30 days. Minswap accounts for 51.82% of the total value locked on Cardano.
SundaeSwap, the first decentralized exchange on Cardano, is now the second most valuable DEX in the ecosystem. SundaeSwap is second in the ranking, with $19.72 million in TVL.
Like WingRiders, SundaeSwap has also lost a significant amount of its TVL over the past 30 days. In the past month, SundaeSwap has lost nearly 10% of the funds locked on the platform.
Commenting on the development, Cardano Daily, a platform that shares new developments about Cardano, said:
“After the major decline of @wingriderscom, the TVL scenario of the Cardano ecosystem has stabilized back to normal as we have seen in the past few weeks. @MinswapDEX still led the ecosystem with $51M TVL, contributing 50% of the ecosystem.”
CARDANO TVL STATUS
After the major decline of @wingriderscom, the TVL scenario of the @Cardano ecosystem has stabilized back to normal as we have seen in the past few weeks. @MinswapDEX still led the ecosystem with $51M TVL, contributing 50% of the ecosystem#tvl #cardano $ADA pic.twitter.com/xjZ6cHo8jX
— Cardano Daily (@cardano_daily) August 9, 2022
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