Is Cardano (ADA) a good investment in 2023?

Cardano (ADA) is one of the exciting cryptocurrency projects with many network development initiatives, and investors hope their activity will have a positive impact on the price of the asset in the future.

Notably, Cardano has enjoyed steady development updates over the course of the 2022 bear market, with metrics such as smart contracts hitting new milestones. In fact, the asset has been weighed down by general crypto market meltdowns such as the FTX collapse and macroeconomic factors taking center stage.

ADA price analysis

ADA has lost key support levels throughout 2022 and crossed the all-time high of $3, with decentralized finance (DeFi) token trading in the shadows of the 2021 bull market. At the time of writing, the asset was trading at $0.26 with a loss of about 82% from its annual high of $1.50.

Having posted a daily gain of about 1.7%, ADA investors hope the asset has bottomed out and laid the groundwork for another rally into 2023. Rising towards $0.50.

ADA year-to-date price chart.Source: Finbold

Elsewhere, the ADA technical analysis is mostly bearish. The daily gauge summary is consistent with ‘sell’ sentiment at 13 and the moving average shows ‘strong sell’ at 12. The oscillator is “neutral” at 9.

ADA Technical Analysis.Source: Trading View

Cardano basics

In general, network development may continue to be a bullish trigger for ADA. This development has made Cardano stand out as a potential “Ethereum (ETH) killer” and overwhelmed other cryptocurrency platforms.

It’s worth noting that Cardano’s reputation in the market stems from its growing smart contract capabilities focused on security and decentralization backed by formal methods and peer-reviewed research.

As reported by Finbold, experts had pointed out that the token could trade at $8 by 2025 due to strong network activity.

However, the outlook for ADA will depend on general market momentum focused on how general macroeconomic factors play out. At the same time, with most jurisdictions focusing on regulation, legislation targeting the crypto sector could impact the value of his ADA in 2023 and beyond.

in the meantime, price prediction Predictions from machine learning algorithms indicate that Cardano will likely enter the consolidation phase in 2023. In particular, this forecast shows that ADA could trade at $0.24 on Jan. 1, 2023.

Disclaimer: The content of this site should not be considered investment advice. Investing is speculation. Your capital is at risk when you invest.

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