Cardano (ADA) is holding its last line of defense after falling below its important support level of $0.30. The last two months have been terrible for the cryptocurrency market, with Sam Bankman-Fried and FTX dominating the news.

The crypto winter is expected to go well into 2023, according to experts, because of the ripple effects of the collapse of the FTX exchange. However, a consistent rise in stablecoin volume, as seen in the most recent report from CoinMetrics, indicates that once confidence in the cryptocurrency industry has been restored, there will be sufficient deployable resources to reverse the trend. A price explosion of $3 for Cardano is therefore conceivable.

Meanwhile, at the time of writing, ADA is trading at $0.2578. (Saturday – European session). According to CoinMarketCap, trading volume fell by 38.78% to $126 million. With a market cap of $8.89 billion, the smart contracts token is now ranked ninth.

Today’s Cardano Price

Cardano Price Prediction

Cardano’s price is expected to conclude the year in a seemingly infinite rabbit hole after falling 91.6% from its all-time high of $30.9 on September 2, 2021. In just one year, ADA lost 82.6% of its value, further crippling investors.

The Market Value Realized Value (MVRV) profit or loss model has been below its mean line at 1 for the majority of the year. Santiment claims that when the MVRV deviates from the mean line, an asset would be undervalued. In these circumstances, investors are more likely to keep their tokens for longer. Some people would even increase their purchases before a rally.

A buy zone for ADA is therefore indicated by an MVRV ratio of -15.09, which indicates that a rebound catalyst is still needed. On the other side, when the MVRV flips past the mean line, investors typically sell to book profits.

The call was answered by some investors, more specifically whales, who are now on a buying binge. Addresses with 1M to 10M ADA now possess 16.19% of the network’s total supply, up from 15.98% on December 14 according to on-chain data from Santiment.

Whale and shark addresses with 10M and 100M ADA show a comparable growth pattern. The proportion of supply that this tier makes up has increased by 0.42% to 41.54% over the same time frame. Cardano’s value would start to rise as ADA demand grows, signalling the end of the market downturn.

A robust development team supporting the Cardano protocol is employed by Input Output Global (IOG). In the past year, the network has undergone numerous significant improvements, the most recent and intricate in the protocol’s history being the Vasil Hard Fork. These changes may have a favorable effect on the pricing of ADA in 2023.

The community anticipates that IOG will work to boost the volume to 80 KB and increase the block size of the network by 8 KB, enabling access to a greater bandwidth to support a higher transaction throughput. IOG is also striving to strengthen Cardano’s scalability to handle rising demand as a result of the switch to a proof-of-stake (PoS) system.

Cardano is an industry leader in blockchain technology thanks to its distinctive characteristics. The drop to $0.25 could be a little inconvenience before to a significant rally that could see the price of ADA recapture $3 once more as long as IOG stays devoted to the project, as it has been.

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