Cardano (ADA): Is A Major Correction Around The Corner?
Some cryptocurrencies have excellently started in 2018. One of them is Cardano (ADA). When the issue of cryptos is brought up, what most people think about is Bitcoin and then the numerous other altcoins. Even though the Cardano project is still doubted by many, its price has appreciated by a good margin over the past 30 days.
The price of Cardano has increased from $0.118 all to the way to $1.2 now in the space of 30 days. Achieving this growth in the time frame is a massive achievement, to say the least.
Most of the value recorded by the crypto is based on hype and speculation, though that is the trend that all cryptos have adopted these days. Cardano has also broken into the top 5 cryptocurrencies by market capitalization.
With the solid gains recorded by Cardano (ADA) over the last few days, its value has more than doubled since Christmas day. It is uncertain if the digital currency can sustain this price point considering its circulating supply is well below the total supply.
After a long time, this is the first time Cardano has been able to achieve the $1 mark.
The currency also recorded a $489 million in 24-hour trading volume, implying that things are looking great for the crypto right now. There is a demand to both buy and sell at the moment, with the trading volume increasing over the past few weeks.
Now that it has attained the $1 mark, analysts believe that massive profit-taking will likely set in soon. That seems like a logical move for an altcoin that has a long way to go before it proves its strength in the market.
A large portion of Cardano (ADA)’s trading volume originates from the Binance exchange. Binance has been leading when it comes to altcoin trading action, with Bittrex occupying the second spot.
At the moment, its rapid valuation increase is something that causes concern. Considering the fact that its developers are yet to deliver on most of the initial promises they made.
That, however, doesn’t mean the project wouldn’t become very bright in the future, though it is advisable to be careful when it comes to new projects like these that haven’t delivered most of their promises.