The Cardano price has risen by 2.5% today, reaching $0.412737 in the past 24 hours. This represents a 15% gain in the past week as ADA capitalizes on market-wide gains brought about by improving investor sentiment.
The wider cryptocurrency market has rebounded along with global stock markets, which have been buoyed by a round of positive earnings reports that have suggested the macroeconomic situation may not be as bad as feared. ADA is well-positioned to profit from such an uplift in market sentiment, and assuming that conditions improve significantly next year, its fundamentals mean it could have a very good 2023.
Cardano Price Prediction – How High Can ADA Go in 2022?
Despite today’s gains, ADA remains down by 4% in the last 30 days. However, its technical indicators suggest that it has begun an upswing, with potentially more gains in store in the short and medium term.
ADA’s relative strength index (purple) has risen from nearly 20 in the past couple of weeks to almost 60 today. This reveals growing momentum, something which could easily continue if wider market conditions continue improving.
At the same time, ADA’s 30-day moving average (red) remains below its 200-day average (blue), suggesting that the altcoin has plenty of lost ground to recover and is due a rebound.
Looking at Cardano’s fundamentals, such an expectation is certainly justified. That’s because, even with this year’s bear market, the Cardano ecosystem has seen steady growth over the past few months, with more than 1,100 apps and projects now building on its network.
100 projects have already launched on Cardano, which introduced smart contract capabilities in September 2021. Since then, over 3,500 Plutus scripts (i.e. smart contracts) have been deployed, testifying to growing activity on its blockchain.
This is reflected in Cardano’s gradually increasing total value locked figure. At $70 million, this figure remains modest compared to that of larger chains (e.g. Ethereum and Binance Chain, yet it’s worth bearing in mind that it stood at $1 million at the start of the year.
Cardano also continues to introduce important technical updates. This includes this September’s Vasil upgrade, which improves throughput (by reducing the latency of block transmission) and makes programming dapps easier (via changes to the Plutus smart contract language).
Such improvements mean that Cardano is very undervalued right now. Even with only a fraction of Ethereum’s TVL, it’s the ninth-biggest crypto by market cap, indicating that it could easily rise much higher once crypto re-enters an expansionary phase.
Indeed, it’s likely that during the next bull market, ADA will exceed its current ATH of $3.09 (set last September). While it’s hard to predict just how much it could overtake this record, some experts have set a long-term target of around $5.30 for the coin.
As for this year, ADA’s eventual price depends on how much of an end-of-year rally the market enjoys. Assuming a significant surge, it’s very likely that it will finish above $0.50, although bigger rallies could potentially push it as high as $1, a level it last held back in early April.
Presales Offering Better Gains?
Of course, some traders may have little interest in waiting several months (or longer) for ADA to come back to life. Fortunately, a variety of newer coins hold out hope of big short-term gains, even while the market remains in an uncertain state.
In particular, there are a number of promising new altcoins currently holding their respective presales.
These include Dash 2 Trade (D2T), an Ethereum-based trading intelligence platform that has already raised just over $3.7 million.
Such projects are promising in their own ways, with all three looking forward to successful exchange listings once their respective token sales end. Indeed, Tamadoge (TAMA) famously posted a return of around 1,800% at one point after it listed on OKX, highlighting the potential new altcoins have for strong gains.