Having dropped from the record high of $1.28 to $0.34, Cardano (ADA) has got most investors worried. During the bullish crypto run last year, it showed signs of a positive upward climb, however things took a turn for the worse during the second and third weeks of January 2018 when most people sparked a massive sell off that deep gutted the cryptocurrency world. The coin could even go as low as two cents judging by the look of things. But there may still reason to be optimistic in the midst of the storms.
What Accounted For Cardano’s Appreciation?
What must be noted is that Cardano is still in its infancy, which means that it still has a distance to cover in order to establish itself firmly in the world. You may want to object to this view but first of all consider this.
Bitcoin which is the “chiefest” of all cryptocurrencies was having a good day during the last quarter of last year and this caused a massive rush for cryptocurrencies in general.
Thus almost everyone who bought into this crypto rush but couldn’t afford bitcoin because of its insane price tag of over $15,000 per head had to opt for alternatives. These alternative coins (altcoins) thus enjoyed a smooth ride on the fame of bitcoin and had their values rising as people went rushing in for them.This caused even coins which had not much of popularity to see a price valuation and that’s where Cardano’s value appreciation can be traced to.
Can You Still Hope For A Better Future For Cardano?
Almost everyone hoped that Cardano would reach a tenth of the 100 dollar bill during the times of the crypto bull, but as to whether that hope still remains steadfast is a thing for another day. In fact it would require very convincing analysis and data and an ethereum-level confidence in the digital currency (Cardano) to make anyone believe there’s hope for it.
However it seems to be putting up somewhat “impressive” figures on the trade market. Its total traded volume by Thursday was 1,338,390,000 coins even at its $0.346 price as compared to the 593,430,000 on January 4 when its value was at $1.33.
If these figures point to anything at all it’s this – there could be a rise in the value of Cardano in the nearest possible time judging by how investors are still going in for the coin. It has been noted that most investors usually wait for coins to hit record lows and then swoop in to buy lots of these coins at a comparatively lower price. A trend that often makes these coins gain value very quickly.
Phase Two Could Bring Fresh Life
Okay, so enough with the “pessimism”, let’s get a bit optimistic here – a bit. Let’s bear in mind that Cardano is still a green coin and is in what it’s developers call its first layer, “Byron”.
They plan on getting its next phase, “Shelley” rolled out, at the beginning of the second quarter of 2018. This second phase will enable investors to tailor their contracts and maintain privacy when do so. This will be a huge step up from the present condition where one can only perform traditional transactions with the Cardano (ADA). With this, you can expect some sort of corresponding value appreciation in Cardano from the second quarter when the Shelley update rolls out.
Thus said, the ball lies in any investor’s court as to whether Cardano is still worth buying and considering as a long-term investment.
Do you think there’s still hope for Cardano amidst the news of its Shelby phase two update rolling out after March this year? We at Coinstaker appreciate your views and opinions very much concerning what you read and would like to know more of what you think. Join the conversation and share your views with the Coinstaker community via Telegram.
Featured Images Via MaxRes, The Merkle, & Cryptovest
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