Cardano’s native cryptocurrency, ADA, is gaining momentum in the altcoin market rally of 2024. Currently priced at $0.7682 with a market cap of $27.2 billion, ADA has experienced a significant surge of 75% in the past 41 days, starting from its low of $0.444. This surge has caught the attention of crypto analyst Ali Martinez, who suggests that ADA may be on track for a parabolic rally, similar to its previous bullish cycle, potentially reaching $10.
Investors’ excitement over ADA’s recent price climb has resulted in a 40% rise in 24-hour trading volumes, now standing at $2 billion. Martinez’s study indicates that there may be a slight drop before ADA embarks on a major upswing that could take it to the coveted $10 milestone, representing a potential 2000% rally from its current levels.
Despite concerns about ADA’s growth in comparison to Bitcoin, which is nearing its peak, ADA has demonstrated strong fundamentals. There has been a notable increase in transaction volume, daily active addresses, and ADA whale transactions, indicating strong investor interest and network participation.
Martinez believes that ADA follows a pattern observed in previous market cycles. By comparing ADA’s consolidation stages in 2020 and 2023, Martinez predicts a slight correction followed by a potential spike above $10, similar to the bull run in 2021. The expert forecasts that ADA will trade at $9.7 after a goal rise of 2,084% from its low point in January 2024.
Currently trading at around $0.78, up 11% from the previous day, ADA still has significant room for growth as it is nearly 75% behind its peak price of $3.10 reached on September 2, 2021. This suggests that there are ample opportunities for expansion in the coming months, which could attract investors.
The recent increase in ADA’s price can be attributed to investors diversifying their attention away from larger cryptocurrencies like Bitcoin and Ethereum and towards smaller-cap options. ADA’s progress has been supported by the addition of Ergo, a Cardano-compatible network that enables smart contract applications. The transfer of a substantial number of Ergo (ERG) tokens to the Cardano network has contributed to the significant increase in ADA’s price. This aligns with the overall strength of the crypto market and reflects growing interest in Cardano as a promising investment.
On-chain analytics reveal that Cardano has gained significant popularity recently, with a noticeable rise in the number of new wallets. Approaching 4.5 million wallets, the Cardano network demonstrates its increasing popularity and reach. Moreover, the number of active daily addresses on the Cardano network has consistently exceeded 30,000 since the beginning of the year, reaching a peak of 48,095 on March 2. This surge in active engagement indicates increased interest in ADA, which could lead to a spike in demand and a subsequent price increase.
Overall, Cardano’s ADA is showing strong potential for growth, with its recent price surge, robust fundamentals, and increased network engagement. If historical patterns persist, ADA could experience a significant rally, potentially reaching $10 and offering lucrative opportunities for investors.