BlocksInform
After the new year has begun, There has been a strong upward trend in the crypto marketplace, Total market capitalization jumped more than 37% to over $1000 billion in just five weeks. Cardano (ada) was one of the most successful tokens of the year, registering massive profits each week as it keeps an upward trajectory.
Since the start of 2023, Cardano has gained by over 65%, moving from $0.24 on January 1, 2023, to its current market price of $0.40 based on data from Tradingview.com. During this period, Cardano's market capitalization also increased from $8.63 billion to $13.81 billion, which allowed the token to maintain its eighth-largest cryptocurrency position in the world.
ADA Market Cap at $13.81 | Source: ADA Chart on Tradingview.com.
Behind Cardano’s Market Surge
While many factors have influenced Cardano’s rise in the last few weeks, credible on-chain analytics platform Santiment has presented a report explaining recent network transactions driving this price rally.
According to the Health, there has been an accumulation of $405.85 million ada by key sharks and whale portfolios since early in the New Year. This report shows that this massive investment in ada in a short period of time made a significant contribution to the rise in token prices in 2023.
Source: Santiment
With respect to these transactions, Santiment also indicated yesterday that ADA has registered its largest daily transaction amount of $100,000 since November 12, 2022. Historically, this increase in transactions with whales usually precedes massive price fluctuations. So, cardano is a token that investors should keep a close eye on in the coming days, alongside other coins with similar transaction histories such as shiba inu and hex.
Of course, there were other factors that influenced Ada's price, other than those transactions with the whales. For example, the Total Value Locked of the Cardano DeFi ecosystem has surged by over 100% in 2023 based on data from DeFiilama. The current Cardano Defi space is valued at $102.79, the highest value since August 2022.
In addition, there has been much excitement within the Cardano user community after Cardano Founder, Charles Hoskinson, announced on January 8, 2023, the opening of his hospital – “Hoskinson Health & Wellness Clinic” – which will offer patients the option of paying ADA tokens for medical services.
Cardano (ADA) Price Prediction For 2023
Per price prediction from BitNation, ADA is expected to reach a peak price of $0.72 in 2023. Their forecasts also stated that the expected average and minimum market prices of ADA for the year are $0.69 and $0.48, respectively
DigitalCoinPrice, another popular prediction site, also projects ADA to trend upward in 2023. Based on their projections, Cardano could trade as high as $0.88, representing a plausible 120% gain on the current market price.
On the other hand, it should be noted that these price forecasts should not be taken into account in investment decisions. All investors are directed to perform due diligence, taking into account all risk factors affecting the crypto market.
