Fresh analysis suggests that Cardano could reach a new all-time high if it captures just 20% of the global crypto market cap.
The broader crypto market is still in free fall, slipping 0.24% in the past 24 hours to a total valuation of $3.77 trillion. Amid this downturn, Cardano (ADA) has taken a steeper hit, shedding 1.75% of its value in the same timeframe to hold a market cap of $27.72 billion.
At the time of writing, one ADA was worth $0.774, boasting a daily volume of $562.21 million. Despite its recent pullback, ADA remains one of the most closely watched cryptocurrencies due to its position as the 10th largest token globally.
Mixed Reactions Surround ADA’s Potential
Cardano supporters, including founder Charles Hoskinson, remain optimistic about the long-term potential of ADA. Back in July, Hoskinson speculated that the token could surge by 1,000x. Initial estimates at the time showed the growth could push ADA’s price to nearly $800 per coin. However, the bold forecast sparked mixed reactions.
While some enthusiasts welcomed Hoskinson’s bold forecast, skeptics quickly dismissed it as unrealistic, pointing to the market cap implications. With a circulating supply of 35.81 billion tokens, a price of $800 would give ADA a market cap of $28.64 trillion—far exceeding the entire global crypto valuation.
ADA Price If It Captures 20% of Global Crypto Market Cap
Critics argued that a more modest target would be far more realistic. Against this backdrop, we examined what ADA’s price might look like if it were to capture just 20% of the total crypto market capitalization.
As noted earlier, the broader crypto market currently stands at $3.77 trillion, reflecting a 0.24% decline over the past 24 hours. Cardano’s market cap stands at $27.72 billion, accounting for just 0.73% of the total.
If ADA were to capture 20% of the entire crypto market, its valuation would soar to an impressive $754 billion. This marks a staggering 2,620% increase from its current level. It is worth noting that this estimated valuation exceeds the current market cap of Ethereum, which stands at $483.58 billion.
The price of ADA at this valuation depends mainly on the token’s circulating supply. Currently, only 35.81 billion ADA tokens are in circulation, out of a total of 45 billion.
Based on the current circulating supply of 35.81 billion, the projected valuation of $754 billion translates into a price of roughly $21. We arrived at this price by dividing the estimated market cap ($754 billion) by the circulating supply (35.81 billion).
While the projection may appear ambitious, some analyses frame $21 as a realistic target. Last year, The Crypto Basic estimated ADA could reach $21 if its market cap matched that of Elon Musk’s electric vehicle giant, Tesla.
Similarly, a previous forecast from crypto trading platform Changelly projected that ADA might hit the $21 milestone by March 2033.
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.
