In the last week of trading, ADA – the coin of the Cardano network – made it to third place in the crypto market. Cardano now has a market capitalization of around 91 billion US dollars and has thus gained around 10 billion US dollars in fourth place within a very short time. In the last week, the value rose by 15% – making it, together with competitor Solana, the best cryptocurrency from the top 10 of the global digital currency market. But the latest all-time high doesn’t have to be the end of the flagpole. Rather, there is still long-term price potential at ADA.
Alonzo Hard Fork successfully implemented
The Alonzo hard fork is considered one of the most important upgrades for the Cardano blockchain. The developers upgraded the network to offer users new functions. This means that in the future, users will be able to use smart contracts applications, multi-asset services and various DeFi projects on the Cardano blockchain. To this day, the Ethereum Blockchain is the leading network for DeFi and Smart Contracts. The constant further development of Cardano is intended to intentionally undermine Ethereum’s claim to leadership so that Cardano, as an Ethereum killer, secures more and more market shares.
Institutional Investor Momentum and Interest
The price development of ADA is currently showing strength. The new all-time high at Cardano generated another buy signal. In addition, there is the growing interest from institutional investors. In the medium term, Cardano could come into the public eye as number 3 in the crypto market behind Bitcoin and Ethereum – the result would be increasing investment in ADA.
Proof-of-stake, Africa and developer friendliness
There are also a few other reasons why Cardano is a promising crypto project in the medium to long term. On the one hand, Cardano relies on the proof-of-stake concept, which is significantly more energy-efficient and requires less computing power than other concepts such as the proof-of-work process for Bitcoin. At the same time, Cardano pushed ahead with its expansion into Africa at an early stage. The Cardano network is firmly anchored on the African continent with various pilot projects. Here the blockchain is used, for example, in an extensive project in the education system of Ethiopia, in which digital student IDs exist on the blockchain in a forgery-proof manner. The founder and mathematician Charles Hoskinson, who previously worked on the Ethereum network, attaches great importance to developer-friendliness, so that the Cardano blockchain is constantly being further developed in a timely manner.
Should you buy Cardano (ADA) now?
After Cardano (ADA) hit a new record high in the past few days, there was minor profit-taking. Today ADA is up almost 10%. In terms of chart technology, it should be decisive whether ADA can break the USD 3.02 mark in the near future. Fundamentally, Cardano is getting more and more exciting anyway. As number 3 in the global crypto market, ADA is certain of increased interest.
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