Cardano (ADA) Looks Like A Strong Buy After Tumbling 75% In 3 Months
I like to view Cardano (ADA) as probably one of the most undervalued crypto assets on the market.
And it turns out; this is the view of many other within the blockchain and cryptocurrency space. The general cryptocurrency market has seen the worst run of price declines, with leading coin BTC being one of the worst hit.
The top asset continues to falter and alongside it altcoins which have mirrored it over much of 2018.
Has ADA had it any better? Apparently, it hasn’t, according to trading data on Coinmarketcap.com.
But does it hold its appeal as a strong buy? Absolutely!
Cardano picture 3 months
Historical price data about ADA shows that it has sharply tumbled down the price charts over the last 3 months. ADA/USD was valued at around $0.38 at the end of April. However, the ensuing bloodbath in much of Q2 has seen it lose 75% in value.
ADA/USD traded below 20 cents against the dollar for much of early April. However, a turn in sentiment saw it hit an upsurge and rise to reach a high of about 38 cents by end of the month.
Yet that can be summed up as the end of a decent performance for the top 10 cryptos. Its value has since been in free fall, finally hitting $0.11 on June 29, 2018.
The short of it is that it went exactly like the rest of the market, hitting a low last seen in December 2017. This could be the bottom, (and even if it isn’t), it appears that it might be the right time to buy.
Given its strengths and the general cryptocurrency space, we can only expect ADA to recover. It’s possible it will not hit the all-time high of about $1.40 reached in Jan that quickly.
Nevertheless, higher values approaching late April prices are very much attainable before the end of Q3. In Q4, we could be talking about a new all-time high.
Why is Cardano (ADA) a good buy now?
Cardano will definitely recover to see its value rise, except for a truly catastrophic occurrence.
Without focusing so much on its fundamentals, the one thing that could impact ADA growth is Bitcoin (BTC).
It’s known that BTC prices have often dictated the gains or losses experienced by most altcoins. The top coin has been tanking massively, but when it surges, the rest of the market takes the cue.
We saw it earlier today when BTC jumped about 9 percent and ADA followed suit, rising by about 16 percent at the time of writing.
If Bitcoin takes off and is able to sustain an upsurge, then the prices of Cardano will follow suit. There’s a lot to suggest that that could be happening in Q3 with more positive news swarming into place.
Most trading of the virtual currency takes place in the ADA/BTC pair. It, therefore, means that a shift in sentiment for BTC will play a big role in that of Cardano.
Many have predicted that Bitcoin (BTC) will see significant prices gains. Should it reach even $12k this year, ADA will try to retest $1.00.
The other reason to believe in Cardano surrounds its underlying technology. Cardano is one of the best blockchain-based cryptocurrencies around.
Its developers are credited for building a highly scalable, secure blockchain that brings scientific approaches to the blockchain.
There’s also the fact that the platform is being overseen by one of the top developer communities in IOHK.
More importantly, Cardano will probably be a great digital asset due to the fact that blockchain technology continues to gain acceptance and recognition.
As one crypto enthusiast and host of CNBC’s Crypto Trader Ran Neu-Ner says:
“If you understand the technology and you’re a bull, then now is a great time to be buying…The blockchain is progressing and this thing isn’t going away.”
There are also a number of events happening out of the price picture that could impact future growth.
One of the most exciting this week revolves around founder and CEO Charles Hoskinson and his meeting with Google.
Details from the meeting indicate that the intention was to streamline discussions over blockchain technology and the future of cryptocurrency applications.
The latest upsurge is an indication that the coin is very much alive. Watch the space and remember, this could be the best time to buy ADA.
Disclaimer: this is not investment advice and should not be considered as such. Always conduct your own research or consult a professional prior to investing money. Cryptocurrencies, coins, and tokens are highly volatile assets (go up and down sharply) and are not suitable for all investors. Never invest more than you can afford to lose.