Taking pointers from the historical performance of the eighth largest crypto asset, Cardano (ADA), a market analyst believes recording a potential 40x surge from the current level is possible.
The analyst, Tim Warren, reminded his followers on X how Cardano bounced from its 2020 lows to an All-Time High (ATH). He presumed that a potential ride to a new ATH is possible if history repeats itself.
Cardano’s Potential 40x Surge
Tim’s optimistic outlook on Cardano was embodied in a chart showing the asset’s historical trend. From a price of $1.3090 in January 2018, ADA slumped 98% to a new low of $0.018926 in March 2020. Per the chart, Cardano did not stay long at this level before a steady move surfaced.
Cardano printed a massive 16,500% rise from this low to record an ATH of $3.1309 in September 2021. Currently, Cardano’s price is pegged at $0.2523, a figure that reflects another 91.88% from this previous ATH. If history repeats itself, Cardano might soar to another historic price level.
Though the analyst believes hitting another 165x is unrealistic now, he noted the possibility of ADA soaring 40x, which could take the price to $10. One of the fundamental justifications for this is that in the bull rally from 2018 to 2020, Cardano had not launched its smart contract functionalities.
Today, Cardano’s critical innovations span from smart contract support to sidechains and other usable products from its decentralized finance ecosystem to software wallet Lace. These functionalities can drive usage and demand for ADA, thus giving the next rally a base to ride on.
Rebuilding Lost Profitability
Cardano remains one of the most functional blockchain networks per developer contribution, but its grand efforts have no impact on its investors. Data from IntoTheBlock (ITB) shows that addresses on Cardano in losses have slumped to 92.83%.
This figure is the lowest of the top-ranked digital currencies, and it shows Cardano has a good upside potential should many analysts’ optimistic projections come to pass.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
