Cardano (ADA) is one of the most exciting cryptocurrency projects, with accelerated network development activities assisting the network in establishing itself in the DeFi scene. The Cardano community remains optimistic that on-chain activity will have a positive impact on ADA in the future.
Because of the volatile nature of the cryptocurrency market, determining whether development activities will affect the valuation of ADA is more difficult. Investors are using various tools, such as those powered by artificial intelligence (AI), to forecast the asset’s price in order to get a sense of how it might perform in the future.
Among the entities used to determine the potential ADA valuation is CoinCodex’s machine self-learning technology. ADA is expected to trade at $0.49 on December 31, 2023, according to data obtained from the tool on March 3. The projected valuation represents a 44% increase over Cardano’s price at the time of publication.
Cardano (ADA) price analysis
Cardano was trading at $0.34 as of press time, down nearly 4% on the day. ADA has lost about 12% in a week after failing to break through the $0.40 resistance level.
Cardano’s one-day technical analysis shows bearish sentiments as well. A summary of the TradingView gauges suggests sell sentiment at 15 while moving averages suggest a strong sell’ at 13. Oscillators are at 7 and are neutral.
Cardano development activity’s impact
Cardano’s value is currently dependent on the general market price movement, which remains bearish. In the long run, however, the ADA community expects network activity such as development and adoption to serve as the primary catalyst for a rally.
Cardano added approximately 50,000 wallets in January, with the network registering increased whale activity. Cardano’s continuous development activity is also demonstrated by the platform’s ranking second among all crypto projects in terms of weekly development on GitHub. The platform had 670 entries as of March 2.
Meanwhile, the Cardano community will be keeping an eye on events surrounding the network’s founder, Charles Hoskinson, who has come under fire for his contingent staking proposal. Hoskinson claims that his proposal is ideal for keeping authorities at bay at a time when regulators are cracking down on staking.
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