Last weekend sent the cryptocurrency space and the stock markets into a frenzy. Major coins such as Bitcoin and Ethereum among the other altcoins lost close to 10% of their total market cap, making…
Last weekend sent the cryptocurrency space and the stock markets into a frenzy. Major coins such as Bitcoin and Ethereum among the other altcoins lost close to 10% of their total market cap, making the crypto industry lose a staggering $600 million overall in just a few days. But it seems like things have already started to get better as the major altcoins are recovering rapidly.
Today, we will be discussing one of the biggest altcoins in cryptocurrency. While Cardano’s ADA has fallen massively in the last three months, new updates combined with multiple revenue streams make this one of the most lucrative coins in 2022. Let’s see why ADA may be a great investment opportunity for investors to be a part of.
Cardano is the 3rd largest cryptocurrency in the world in terms of market cap, but things have not been going as smoothly as planned. Despite the much-awaited deployment of smart contracts Cardano’s blockchain, new dApps and protocols that developers have been working on have not been released to investors just yet. ADA has also been one of the few altcoins that did not make significant profits in October, a time where the crypto markets were in an ascending pattern. But things have gone from bad to worse for ADA, specifically in November. ADA fell from $2.3 on November 9 to as low as $1.3 on December 6, according to Coinmarketcap. This is a fall of almost 50%, which has worried a lot of investors in the space.
But in the last 24 hours, investors have experienced a 9% jump in ADA’s price, as it is currently trading at $1.44. FX street analysts believe that the $1.45 — $1.50 range is an important support for the current price levels, which could even act as a launchpad for Cardano to go as high as $3.00. But after the coin has been falling for the majority of the last 3 months, why is it likely that the Cardano coin would go up at all?
Cardano Records 20 million + Transactions
Despite whatever has been going over with Cardano and ADA’s price for the past few months, the blockchain has been one of the most stable and notable ones for the past few years. Cardano has received so much attention after it deployed smart contracts on the blockchain, attracting developers looking to create NFTs, build dApps, and other DeFi protocols. They are also being preferred over Ethereum’s smart contract network since they are both faster and cheaper for transaction fees. Cardano also works as a proof of stake network; it requires investors to stake ADA coins in exchange for voting rights and decision-making opportunities for various cryptocurrency projects. It also held the title for the highest-staked coin out of any cryptocurrency until Solana became the highest-staked crypto coin.
While they are a long way behind Ethereum and Bitcoin in terms of market cap, the number of people who have started investing in Cardano has slowly grown. Huge news coming out of Cardano is that the network has just marked its 20 millionth transaction, despite only being in operation since 2017.
Despite Cardano’s lack of Decentralized exchanges that are actually on the blockchain, its smart contracts have been receiving a lot of activity compared to Ethereum’s’. This has nicely set up Cardano since it can become the leading blockchain for DeFi platforms in the coming years.
ROI Methods From Cardano (ADA)
As we speak, Cardano is more than 70% under its all-time-highs and has just experienced a monumental feat in terms of transaction activity. It will not be a surprise if Cardano gains momentum as we head into 2022 once the decentralized exchanges start getting released on the blockchain.
But, another alternative is to hold ADA for the long term. Wallet Investor, the popular crypto analysis site, is bullish on ADA for the long term. The 1-year forecast by the team of analysts has been set at $3.35. This will be almost 150% if you decide to go long on ADA and could be a safer bet than trading for the short-term.
Staking & passive income
As mentioned earlier, Cardano is the second-most staked coin out of all the cryptocurrencies. You can gain real-world benefits as an investor, such as having voting rights on what types of DeFi protocols the cryptocurrency focuses on and always being a part of the decision-making process, depending on how many coins you stake.
But another substantial benefit investors get in return for staking ADA is passive income. Not only does the new Shelly upgrade let you stake coins to contribute to the success of the Cardano network, but an average Cardano staker also earns between 3% — 7% annually by doing this. The minimum amount to stake on Cardano’s network is 10 ADA, which equals just under $15. You can start receiving rewards 25 days after you begin staking and enjoy a steady return all year-round. All you have to do in return is not be impatient. This is a preferred investment strategy for those interested in Cardanos’ community and the projects while simultaneously looking to grow their investment portfolio.
So do you think you will join the Cardano revolution and HODL the ADA coin till 2022, at least? Or do you have any other altcoins that you have been tracking closely before the start of the new year? Let us know in the comments below.