Cardano (ADA) ranks among the most exciting cryptocurrency projects backed by accelerated network development activities helping the network establish itself in the decentralized finance (DeFi) scene. The Cardano community remains optimistic that the onchain activity will likely influence ADA positively in the future.
With the volatile nature of the cryptocurrency market, it is more challenging to determine if the development activities will reflect on the valuation of ADA. In getting a glimpse of how it might perform in the future, investors are leveraging different tools, such as the ones backed by artificial intelligence (AI), to predict the asset’s price.
CoinCodex’s machine self-learning technology is among the entities used to determine the possible ADA valuation. According to data obtained from the tool on March 3, ADA is likely to trade at $0.49 on December 31, 2023. The projected valuation represents an increase of about 44% from Cardano’s price at the time of publishing.
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Cardano price analysis
By press time, Cardano was trading at $0.34 with daily losses of almost 4%. ADA, which has failed to break the $0.40 resistance level, has recorded weekly losses of about 12%.
Cardano’s one-day technical analysis is also exhibiting bearish sentiments. A summary of the gauges on TradingView recommends the ‘sell’ sentiment at 15, while moving averages are for a ‘strong sell’ at 13. Oscillators are neutral, gauging at 7.
Impact of Cardano development activity
Currently, Cardano’s value growth is hinged on the general market price movement that remains bearish. However, in the long run, the ADA community is betting on network activity such as development and adoption to act as the primary catalyst for a rally.
Notable onchain activity saw Cardano add about 50,000 wallets in January, with the network registering increased whale activity. Cardano’s continuous development activity is also exhibited by the fact that the platform ranked second among all crypto projects regarding weekly development on GitHub. As of March 2, the platform had 670 entries.
Meanwhile, the Cardano community will be following events around the network at its founder Charles Hoskinson, who has come under criticism over his contingent staking proposal. Hoskinson argues that at a time regulators are cracking down on staking, his proposal is ideal for keeping authorities at bay.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
