Cardano price looks stronger as it forms a bullish reversal pattern on the 12-hour timeframe. Meanwhile, the market is optimistic about ADA price rising as analysts predict that ADA price could reach $1 or more by December. Let’s explore some reasons why ADA price could reach $2.
Why Cardano Price May Reach $2 Soon
Crypto analyst Dan Gambardello sparked interest in the Cardano community and the cryptocurrency space at large when he said in a recent article that the market should be ready for $1 ADA by December, with a long-term outlook of $5 to $10.
ADA price has fallen 1.7% in the past 24 hours and is currently trading at $0.3462. Cardano (ADA)’s current market position and its potential future movement are mainly based on historical data. Here are some of the reasons why analysts have such high expectations for Cardano’s price.
Cardano Price Today
Market sentiment on Cardano is bullish
Despite the common perception that Cardano lags behind other cryptocurrencies, history suggests that this perception may not accurately reflect its potential. Currently, Cardano’s price is outperforming similar phases of the previous cycle. It is currently down about 88% from its all-time high, indicating that its position is stronger than the previous cycle (which plunged 98.54%).
Additionally, according to data from IntoTheBlock, ADA whale activity has been stable. Since the beginning of September, the number of transactions by large investors has fluctuated between 4,000 and 2,300.
Such steady whale activity indicates that market sentiment is cautious and on the sidelines. Positive news for Cardano or changes in the overall cryptocurrency market conditions could push ADA prices higher.
ADA continues to benefit from fundamental developments
Cardano has seen a significant increase in the number of Plutus V2 smart contracts, from 8,083 to 80,437, a more than 10x increase year-to-date. Cardano is expanding its functionality and potential to support different dApps.
The surge in smart contracts also indicates that developers are interested in developing on the Cardano platform, likely because of the network’s strong security features and scalability. The enhancements in Plutus V2 make it easy for developers to create more efficient dApps.
As more dApps are built on the platform, it could drive increased usage and demand for ADA, potentially driving up the price of Cardano.
Cardano Price Prediction Hints at Bullish Market Structure
Cardano is currently testing the 50-day exponential moving average (EMA) and needs to break through $0.35 and $0.40 to confirm a bullish trend. In October 2020, Cardano was valued at around $0.10. At that time, it fell more than 98% from its all-time high but later surged to significant gains, reaching around 3,000% during the 2021 bull run.
If Cardano follows a similar breakout pattern as in previous cycles, its price could reach $1 by December and $2 by early 2025.
Cardano Price Chart
Analysts believe that Cardano is well-positioned for future growth due to strong community support, technological advancements, and strategic partnerships, and could be worth between $5 and $10 in the long term.
Furthermore, according to the Wall Street Trading Psychology Cheat Sheet, Cardano investors appear to be in the down phase of the market cycle. However, despite the temptation to stop losses, this phase of the market cycle is usually the best entry opportunity because it is closest to the bottom.
The gains from entering the market at these prices are only comparable to those achieved by investors who bought during the anger phase.
in conclusion
Cardano’s current market position and historical performance suggest that it has the potential to grow substantially in the short term. Investors can make informed decisions by understanding the factors that influence its price action. If history repeats itself, Cardano’s price could surge to $2 or even higher by the second quarter of 2025.
