Notifications Bell

Cardano Price Prediction: Will ADA continue to decline in 2022?

Cardano Price Prediction: Will ADA continue to decline in 2022?

Cardano lost 83% of its value as it reached $0,5 after the first half of 2022. Is ADA a Buy, Sell, or Hold on the recent dip?. CAPEX looks at ADA forecast for 2022 and beyond.

The crypto market experienced a bullish 2021, with a crypto market cap of $775 billion and closing the year at $2.3 trillion. This is after reaching an all-time high of $3 trillion in November.

Cardano (ADA), the seventh-largest cryptocurrency by market capitalization, had a strong 2021 with excellent bullish performance (+670%) outperforming both Bitcoin and Ethereum.

Cardano (ADA), started 2021 at a $5.5 billion market cap, had a $0.18 value, and ended the year at $49 billion. This is after it reached an all-time high of $3.10 and a more than $95 billion market cap in September 2021. However, Cardano is now following the general downtrend of the market and has a total market cap of $14 billion.

But what can we expect from Cardano in the future? Will ADAUSD price continue to decline in 2022? Will the Cardano price surge or plunge in 5 years?

This article aims to address all the queries related to Cardano price prediction for 2022 and beyond, fundamentals, and technical updates.

Cardano (ADA) Outlook: Where we are now

Cardano is a Proof-of-Stake (PoS) blockchain platform, that aims to empower innovators and visionaries to create positive global change.

Cardano was established in 2017 and was named after Gerolamo Cardano, a 16th-century Italian polymath. The network’s native token, ADA, was inspired by Ada Lovelace (1815-1852), widely regarded as the first computer programmer in the world. The ADA token was created to allow owners to participate in the operation and maintenance of the network. The cryptocurrency holders can vote on proposed software changes.

Cardano is still underdeveloped, and the developers’ team launched the Alonzo phase in September 2021, which enables the features of the smart contract on the Cardano blockchain. This caused Cardano (ADA) to surge in price over 116%, which brought a new all-time high ADA price of $3.10 on September 2, 2021.

Cardano's price has dropped 83% from its all-time high, reaching $0.43.

The September 2021 Alonzo upgrade was the catalyst that drove ADA's high price to the point where it reached its highest level until mid-September when it began to drop. This upgrade brought smart contracts to their blockchain, so developers can create decentralized applications (Dapps), and enter the world of DeFi and NFTs.

It reached an all-time high of $3.03 in September 2021, but it began to fall and go sideways in October at 2$. Then, from November 10th, it began a descending trend. In July 2022, Cardano (ADA) was trading at around $0.43.

Cardano, the renowned Ethereum-killer blockchain has been building its credibility as a reliable working platform and has recorded more than 140,000 GitHub projects, putting it ahead of Polkadot, and leaving Ethereum behind with just over 100,000. These numbers are significant because they show that Cardano is winning the battle for developers.

Cardano (ADA) is still one of the largest cryptos on the market, ranking in the 8th position by market cap, and it is expected to see new surges in ADA’s price as more DApps are deployed on the Cardano network.

Cardano, much like Ethereum, is currently in the process to upgrade its features. Cardano has implemented a series of hard forks. The Mary hard fork in March 2021 enabled the network's transformation into a multi-asset platform.

The Vasil hard fork will be implemented at the end of July. It was originally planned for the 29th of June. Emurgo stated that it will "bring many upgrades to network capacity as well as Cardano’s smart contract programming language Plutus, which allows Cardano decentralized app (dApp) development."

Cardano reached five million native assets on May 29, up from three million on the 29th of January.

With 2022 already looking like another roller-coaster period for digital currencies, CAPEX looks at Cardano's price predictions from best-rated websites and experts.

Cardano Price Prediction 2022 and beyond

In October 2021, Charles Hoskinson, Cardano’s founder, announced that his priority will be to expand the adoption of blockchain technology in Africa. According to him, 5 million Ethiopian students will be able to use Cardano's blockchain-based digital IDs to link their academic records. Cardano's price will be positively affected by this.

The bearish trend that began at the end of 2021 seems to be continuing through 2022. Let’s see what will happen with Cardano’s prices in 2022 and in the long term.

Cardano Forecast 2022

The prediction algorithm of WalletInvestor predicts that ADA's price will have a downtrend for the second half of 2022, ending the year at a maximum price of $0.098.

DigitalCoin is more optimistic about its Cardano forecast. It predicts that the price of Cardano (ADA) will average $0.56 by the end of 2022.

The 2022 forecast for Cardano from Price Prediction shows that the price will rise between $0.59 and $0.70 by the end of 2022 and that the coin has a growing trend.

Trading Beasts has set a Cardano price target between $0.54 and $0.80 in 2022. They predict that the average price of Cardano will be $0.64 by the end of 2022.

According to Long Forecast, Cardano can reach $0.22 by the end of 2022, and the average price of Cardano (ADA) by the end of 2022 could be $0.26.

The average consensus is $0.45 which makes Cardano one of the best cryptocurrencies to buy in 2022. With bearish to sideways expectations by the end of the year, Cardano is not included in the top 5 cryptocurrencies to explode in 2022.

It's important to remember that analysts’ forecasts can be incorrect when predicting Cardano prices. Analysts make projections based on a technical and fundamental analysis of the crypto's performance. However, past price performance does not guarantee future results.

You should do your research and remember that trading decisions are influenced by your attitude towards risk, market knowledge, and your tolerance for losing money. The consensus, when it comes to crypto, is to not invest more than you can afford to lose.

Our Cardano ADA Prediction Today

It is expected that the crypto market will closely follow Bitcoin’s price movements in 2022, but no one can be certain, as anything can happen in the crypto market. One thing is certain, and that is developer activity that has been increasing on Cardano from the start of 2022.

Let's all hope that the second half of 2022 will be as successful or better than 2021, as crypto adoption grows worldwide.

Cardano ADA Price Forecast 2022
Source: CAPEX WebTrader

The daily chart shows that the ADA price experienced a sharp sell-off over the weeks of April to May. The price of the coin has been stable at $0.4372. It has struggled to move below this level several times at the beginning of H2 2022. The price is slightly below the 50-day and 25-day moving averages, while the Stochastic Oscillator moved below the neutral level.

The outlook for Cardano's price is therefore neutral, with a bearish bias. If the support level is below $0.4372, it will be interpreted as sellers winning and may drop to $0.400.

According to technical analysis, the short-term outlook of the ADA Price was mainly bearish at the end of June and the beginning of July 2022. There were 12 bullish signals and 17 bearish indicators. The average directional index (ADX), relative strength index (RSI), and volume-weighted moving mean (VWMA ) were neutral. However, the Hull moving average and Hull moving means ( HMA ), showed buy signals.

While we can speculate about the potential price of Cardano over the next months and years, the truth is that Cardano still is a highly speculative investment. There are not much historical data to support these predictions. It is important to invest only what you are willing to lose and include some traditional investment instruments to build a strong portfolio.

Your investments should be small, and you should not place crypto investments above other financial goals, such as saving for retirement or paying off high-interest debt.

Cardano Price Prediction 2025

There are indications that the crypto market is entering a new era.

There is no doubt that ADA's long-term price prediction will rise as there is still optimism about the currency attracting more attention.

A price variation between $0.10 and $0.50 is expected in 2023, and we can see a downward price trend for Cardano (ADA). It is not certain that the next three years will be the golden age for this crypto coin. It is expected that ADA’s price will react to the future significant changes in the market, industry, and policy landscapes. The next updates regarding smart contract on the Cardano network may bring the price of Cardano (ADA) to $0.94, which the average of the experts’ predictions for 2025.

Cardano Price Prediction 2030

Are you expecting Cardano to rise in value? The same applies to Cardano price predictions as it does to weather forecasts. The further we go into the future, the harder it becomes to try to predict the price of Cardano. The world of 2030 may be quite different from what we see now. What does 2030 hold for Cardano?

Although 2030 seems too far into the future, it is possible to imagine how the price of crypto will surge in the next decade. This safe haven is due to technologically rapid transaction processes that are supported by technological innovations. According to PricePrediction.net, Cardano’s Price Prediction for 2030 is extremely optimistic and forecasts a minimum ADA price of $13.50 by 2030.

Is It Possible to Forecast the Price of Cardano?

Many price predictions for Cardano are flawed because they lack the necessary analytical support. Investors will always be attracted to a high price point, especially one that is on an upward price trend. Someone holding a cryptocurrency priced at $0.01 could easily believe that it will rise to $10,000 just because it sounds good.

The problem is that predictions can be made without any evidence or analysis. However, three types of analysis have been used in the financial world for a long time to try and forecast prices and the evolution of markets.

  • Technical Analysis
  • Fundamental Analysis
  • Sentimental Analysis

Cardano Forecast using fundamentals

Investors in financial markets use fundamental analysis to study and evaluate the variables that impact an asset’s price.

You can assess the intrinsic value of a cryptocurrency to determine if it is undervalued or overvalued. This can be achieved by analyzing qualitative factors like the state of the economy and cryptocurrency market conditions, as well as the management and market capitalization of crypto companies.

Fundamental analysis can help traders determine the price of a cryptocurrency based upon a wide range of information. This could be a great way to make long-term investment decisions.

How to conduct a Cardano price prediction today using fundamentals?

Fundamental analysis is when you examine the fundamentals of cryptocurrency projects, from their market capitalization to the utility and value of the native token.

Do not confuse the fundamental analysis and technical analysis. Fundamental analyses of cryptos are more qualitative and less tangible than statistical trends like price charts or historical market data.

The fundamental analysis of cryptocurrency is like that of traditional financial markets with more traditional assets such as stocks. It is not as important to focus on a company’s historical financial performance, financial statements, or balance sheets.

The following parameters can be used to help investors predict trends in crypto markets:

  • Market capitalisation
  • Total and circulating supply
  • Token utility and use cases
  • Community size
  • The team of the crypto project
  • The crypto's trading volume
  • Crypto exchanges listings
  • Partnerships with trusted institutions
  • The latest news about the coin
  • Government rules and regulations

It is important to remember that fundamental analysis can only give you an overview of cryptocurrency investments. You can better understand the project and the future changes in cryptocurrency prices by looking at all the information. To get a better picture, you can also refer to the company’s whitepaper.

You can also examine blockchain metrics which provide crucial information about a cryptocurrency's technology and processes.

Cardano Forecast using technical analysis

Technical analysis uses historical price charts and market statistics to examine and anticipate price changes in the financial markets. It is founded on the concept that if a trader can recognize historical market trends, they may anticipate future price trajectories accurately.

Whereas fundamental analysis focuses on an asset's 'real value,' considering both external and intrinsic elements, technical analysis is only based on an asset's price charts. To anticipate future movements, all that is required is the recognition of patterns on a chart.

The ability to recognize price trend cues in a market is an important part of any trading strategy. All traders must devise a strategy for determining the optimal entry and exit points in a market and using technical analysis tools is a popular technique for doing so.

Technical analysis software is now so widely utilized that many people believe it has established self-fulfilling trading rules: As more traders use the same indicators to find support and resistance levels, more buyers and sellers will congregate around the same price points, repeating the patterns.

In general, technical analysts look at the following broad types of indicators, formations, and theories:

Example

Cardano Price Forecast 2022
Cardano ADA prediction using chart analysis

During the last quarter of 2021 ADAUSD formed a rectangle. A Rectangle is a continuation pattern that forms as a trading range during a pause in the trend. The pattern is easily identifiable by two comparable highs and two comparable lows. The highs and lows can be connected to form two parallel lines that make up the top and bottom of a rectangle. Rectangles are sometimes referred to as trading ranges, consolidation zones, or congestion areas.

The Cardano daily chart above shows the area where the price breaks the lower support line and the confirmation (3 days consolidation) where you should place the sell order.

Finally, the profit target is measured by taking the height of the rectangle and by extending that distance down from the support line breakout.

Cardano ADA Price Prediction Using Market Sentiments

In finance, the term "sentiment" refers to a viewpoint or opinion about a market's condition. The sentiment of crypto market investors towards the asset is a description of their general emotions and attitudes. It reflects the collective psychology of all those involved in trading and developing cryptocurrency.

How investors feel about cryptocurrency can have a tangible impact on market cycles and the price. It can have serious implications if enough traders act on the ideas, thoughts, and feelings they share, regardless of whether they are based upon real-world data. This is evident in how tweets by Elon Musk have impacted Bitcoin's price (a bullish sentiment).

For analyzing the sentiment of cryptocurrency markets, there are many statistics you can use. The following statistics provide vital information about the movement and trajectory of cryptocurrency assets: funding rates, sentiment indices, social media, and community analysis, and whale monitoring.

The funding rates are the monthly payments that traders receive based on price differences between the spot price of currencies and tokens and the price difference between cryptocurrency perpetual contracts. Positive funding rates indicate a bullish market.

A sentiment index is used to predict whether investors will act fearfully or greedily. It can be affected by volatility, market momentum, and investor responses to surveys. A fearful market can be an opportunity to buy if it is managed correctly. Conversely, a greedy market means that it is a good moment to sell.

Another crucial aspect for assessing sentiment in crypto markets is the community’s activity on social media, especially Twitter and Telegram. Investors would look for an active social network with meaningful interaction across platforms.

Whale monitoring is the process of keeping an eye out for big crypto players. A cryptocurrency whale is an investor who holds large-value transactions on multiple blockchains is called. Whale watchers spot major market participants' trades and trade accordingly.

Cardano ADA Historical Prices

In January 2021, the average price of Cardano (ADA) was around $0.35. It then saw a huge rise and reached $1.15 by February 2021. Cardano (ADA)’s price continues to surge until March. After reaching $1.3, the currency saw consolidation between March and April.

The ADA price fell sharply at the end of April but recovered momentum and recorded a new Cardano all-time high of $2.5, was rejected and it reverted to its previous support level of $1.16 at the end of July.

It continued trading in that range until the end of July, and then the ADA price began an upward rally. This momentum drove the coin to a new all-time high of $3.10 in September 2021, well above its resistance level and the trend continues in 2022.

Cardano ADA buy sell
Caption

FAQs:

Is Cardano (ADA) worth buying in 2022?

The outcome of the Cardano blockchain upgrades will have an impact on ADA's price in 2022. The forecasting site DigitalCoin predicts that the price will rebound and hit new highs in the future. However, each investor should do his own research before investing.

How high can Cardano (ADA) go in 2022?

Most cryptocurrency experts and big investments have made optimistic predictions for Cardano’s price in 2022. Some of the most optimistic forecasts are $0.80 by the end of 2022, predicted by TradingBeasts.

Will Cardano (ADA) crash in 2022?

Cardano’s price will not crash in 2022, but the future announcements of network developments will have a significant impact on ADA’s price in 2022.

Does Cardano (ADA) have a future?

Cardano is one of the main programmable blockchains on the market and has exciting potential to become the main ecosystem of the next DeFi and NFT apps. The future developments and announcements from the core team will determine the success of the network.

What will Cardano (ADA) be worth in 5 years?

The Cardano supply is limited to 45 billion, which can cause scarcity as more developers join the Cardano ecosystem. It is expected that the price of Cardano will experience a significant rise within the next 5 years, reaching over $1, according to DigitalCoinPrice.

What Cardano (ADA) will be worth in 2025?

Considering the price predictions of online forecasters such as Trading Beasts, the price of Cardano (ADA) could reach $1 by the end of 2025.

What Cardano (ADA) will be worth in 2030?

According to DigitalCoinPrice, Cardano’s price could reach $2 by 2030.

This information/research prepared by Miguel Ruiz (“the research analyst”) does not take into account the specific investment objectives, financial situation or particular needs of any particular person. The research analyst primarily responsible for the content of this research report, in part or in whole, certifies that the views about the companies and their securities expressed in this report accurately reflect his/her personal views and consequently any person acting on it does so entirely at their own risk.

The research provided does not constitute the views of JME Financial Services (Pty)Ltd nor is it an invitation to invest with JME Financial Services (Pty)Ltd. The research analyst also certifies that no part of his/her compensation was, is, or will be, directly, or indirectly, related to specific recommendations or views expressed in this report.

As of the date the report is published, the research analyst and his/her spouse and/or relatives who are financially dependent on the research analyst, do not hold interests in the securities recommended in this report (“interest” includes direct or indirect ownership of securities).

The research analyst in not employed by JME Financial Services (Pty)Ltd. You are encouraged to seek advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit that conforms to your specific investment objectives, financial situation or particular financial needs before making a commitment to invest.

The laws of the Republic of South Africa shall govern any claim relating to or arising from the contents of the information/ research provided.

JME Financial Services (Pty) Ltd trading as ZA.CAPEX.COM acts as intermediary between the investor and Magnasale Trading Ltd, the counterparty to the contract for difference purchased by the Investor via ZA.CAPEX.COM, authorised & regulated by the Cyprus Securities and Exchange Commission with license number 264/15. Magnasale Trading Ltd is the principal to the CFD purchased by investors