Cardano (ADA) is undergoing significant developments that could potentially drive its price higher in the coming months.
Despite facing substantial selling pressure, with its price falling sharply from $0.81 in March to less than half, several bullish indicators suggest a potential turnaround.
Key activities in the ecosystem, including recent accumulation trends among large holders, regulatory clarity, and upcoming network upgrades, have made investors and market participants closely watch ADA’s performance.
Picks for you
In this context, Finbold has leveraged ChatGPT-4o, OpenAI’s advanced and recent AI chatbot model, to offer insights into how ADA is likely to trade by the end of August, considering the key factors influencing Cardano’s future price trajectory.
Factors influencing Cardano’s (ADA) price
Recent trends show that large holders or whales have increased their ADA holdings, indicating growing confidence in the token’s future potential.
From mid-July to early August, wallets holding between 0.1 million to 10 million ADA tokens collectively raised their holdings from 5.57 billion to 5.69 billion ADA, a notable increase that reflects strong bullish sentiment.
Furthermore, the SEC’s recent confirmation that ADA is not a security has provided much-needed regulatory relief, potentially paving the way for more investor confidence and market stability.
On top of these factors, Cardano is undergoing significant upgrades with the Chang Hard Fork, transitioning to the Voltaire era. This update gives an advanced governance system, enhancing the network’s functionality and attractiveness to developers and investors.
The release of node validator software version 9.1.0, incorporating the Chang Hard Fork, marks a significant milestone in Cardano’s roadmap. Moreover, Cardano is set to benefit from the implementation of Hydra, its layer 2 scaling solution.
ChatGPT-4o ADA price prediction
Based on the above factors, ADA’s price is predicted to range between $0.40 to $0.60 by August 31, 2024.
According to the AI tool,in an optimistic scenario, ADA could reach $0.60 by August 31, 2024, assuming strong whale accumulation, significant recovery in the MVRV ratio, high transaction volumes, and successful implementation of the Chang Hard Fork and Hydra.
Similarly, in a moderate scenario, ADA could reach $0.50 by August 31, 2024, considering ongoing whale accumulation, gradual improvement in the MVRV ratio, steady transaction volumes, and gradual network upgrades.
In a conservative scenario, ADA could see an increase to $0.40 by August 31, 2024, assuming slower whale accumulation, gradual recovery in the MVRV ratio, moderate transaction volumes, and potential delays in implementing the Chang Hard Fork and Hydra.
ADA price analysis
Currently, ADA is priced at $0.37, with a decrease of 1.42% in 24 hours.
However, the combination of increased whale accumulation, high transaction volumes, regulatory clarity, and upcoming network upgrades positions ADA for a potential recovery.
Depending on the alignment of these factors, ADA could hover between $0.40 and $0.60. Investors should monitor these developments closely, as they could signal a turning point for Cardano, paving the way for significant growth in the near future.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
