Cardano (ADA) – For a short, scary time Cardano’s price was sinking. Crypto enthusiasts began to question the “third-generation” platform as the price of the cryptocurrency looked like it was about to retrace back to its initial ICO price. After hitting an all time high of $1.30 in January, the coin quickly began to trickle back down to the low level of $.12 that it reached on March – but since then has tripled in value. The month of April saw awesome gains for most of the market, in general, but Cardano was most definitely one of April’s best performing coins.
Still a rather new cryptocurrency, Cardano’s ADA has quickly made a big name for itself in the market as one of the most advanced blockchain platforms, making it one of the most reputed open-source projects – established with a credible core of developers. Many experts expect Cardano to become a dominant force in the market this year. The Cardano community has managed to stay strong and not give into FUD that happens to be spread when coins are at such low points.
It is important to remember that we are still in the very early stages of the blockchain revolution. One can only imagine what this industry will look like 10 or 20 years down the road. Everyday the digital currency industry becomes more competitive and progressive. Almost all of the top performing cryptocurrencies are beginning to implement new updates and developments to level up their game in order to compete with the other projects in this fast-paced, volatile market. From its start, Cardano has challenged to do everything Ethereum does – but better. Cardano’s technical updates reveal how the ADA currency is set to overthrow its competitors with changes. 2018 will be the year of infrastructure in the community; the year that other cryptocurrencies may come to challenge Ethereum and Bitcoin. Cardano is one of those coins.
Cardano (ADA) chart; source: coinmarketcap.com
Since Cardano’s low of $.12, the cryptocurrency has been on a rebound that looks like it could be the start of another bull run. However, one bounce off of a bottom does not mark for a reversal per say. If the retracement stays at least 25% above the last low of $.12, than the possibility of a genuine reversal will become a reality. Volume patterns are favoring upside movement, so taking a long position is prudent. Current consolidation is expected after a run like we just saw in April. While the moving averages do signal higher consolidation, the MACD is moving deeper into the negative territory showing that the sellers have the upper hand. A break above the current dragon level could set us up for $.40 price. With a market cap of $9.6 billion, Cardano is currently ranked #6 on the list of cryptocurrencies determined by market capitalization.
Interest in Cardano is growing as IOHK, Cardano’s core development team, introduces impressive wallet and network updates. There are to be two new Testnets scheduled to launch in the coming months: K-EVM, the first Testate of Cardano, will be operational on May 28th and the second Testate, the IELE VM Testnet, will be launched in the third quarter of 2018. Both of these Testnets will be deployed to boost Cardano’s Goguen project, which is one of the two major projects of the IOHK developing body. The project strives to offer smart contract facilities for the blockchain and will function following the launch of the Testnets. Cardano’s Goguen is going to deliver side chains and enable users to transfer their digital assets between two blockchains without any intervening by a third party. Goguen is an open source decentralized system that will allow its cryptocurrency enthusiasts to hold several cryptocurrencies in a single ledger.
The IOHK team is to soon release a new proof-of-stake algorithm, the Ouroboros Genesis.According to Cardano CEO, Charles Hoskinson, this development would be one of the company’s biggest achievements, as it allows the execution of a PoS algorithm with the same properties that make PoW the preferred algorithm. With the Ouroboros Genesis, new users joining the blockchain can “bootstrap from the genesis block and do not need a checkpoint block or any prior knowledge of the number of users active in the system.” Previously not possible in proof of stake distributed ledgers, this feature is game-changing. This means that Ouroboros can now match the security guarantees of proof-of-work protocols like Bitcoin in a new way that has never been implemented.
The doubt some felt about Cardano (ADA) seems to finally be fading away. Cardano most definitely seems to be a safe hold and is one of those technologies that is positioning itself for a bright future. Evolved from a scientific philosophy, ADA is the famous third generation coin that has spread excitement all over the crypto community this spring. It is an exciting time to be involved in this community and it is a once in a lifetime opportunity for investors all over the globe.