The Cardano price has not been left behind in the current cryptocurrency rebound. ADA, its native token, is trading at $1.45, which is the highest it has been since December 7th. It has risen by about 22% from its lowest level this month.
Cryptocurrency Santa rally
Cardano is one of the biggest blockchain projects in the world. The network was started by Charles Hoskinson, who is known for being one of the co-founders of Ethereum.
Cardano is a controversial blockchain platform. Supporters believe that it is the future of the blockchain industry, thanks to its proof-of-stake (PoS) consensus network. They believe that it will be a major platform that replaces Ethereum, a platform that is known for being slow and costly. This explains why the number of wallets in Cardano has jumped by 1,200% this month to 2.5 million.
On the other hand, critics point to several things. For one, Cardano has been relatively slow in its evolution. While it was started in 2016, there is nothing much to see about what it has done. This is likely because the network existed without smart contract features.
The situation changed this year when it implemented the Alonzo hard fork, which introduced smart contracts to its network. Still, critics have pointed that the platform took so long to launch these smart contracts. In the same period, we saw the launch and acceleration of blockchain platforms like Binance Smart Chain (BSc), Polkadot, and Solana.
Therefore, critics argue that Cardano has been left behind and it will be difficult to compete with the likes of Ethereum, Terra, BSc, Solana, and Near Protocol. Also, they point to the fact that there are no major decentralized apps built on Cardano.
Still, this is not to mean that the Cardano price will keep falling. Because of its prominent nature, there is a possibility that it will bounce back in the near term.
Cardano price prediction
A closer look at the four-hour chart shows that the ADA price found a strong support at about $1.190 in December. It struggled moving below this level several times this month. This could be a bullish factor now that it has moved above the descending trendline shown in blue. Also, the 25-day and 50-day moving averages have made a bullish crossover.
Therefore, there is a likelihood that the Cardano price will keep rising as bulls target the key resistance at $1.76, which is about 21% above the current level.
If you want to trade cryptocurrencies, you might be interested in automated cryptocurrency trading robots such as Bitcoin Profit, Bitcoin Revolution and Bitcoin Trader.
