Cardano has been one of the top-performing cryptocurrencies this year, going from $0.16 on January 1st, 2021, to $2.84 at the time of writing, August 30th. However, most in the crypto community believe that this is only scratching the surface of its potential. In fact, a lot of people expect Cardano to skyrocket over the next few weeks even more than before and hit a brand-new all-time-high (ATH). Let’s look at its past performance, and why such a surge is expected to come soon.
Cardano before 2021
Cardano (ADA) was created by Charles Hoskinson, and it has been around for about four years now. However, for most of its existence, Cardano’s price was not particularly impressive, especially after the kind of performance it has seen in 2021. It saw a strong surge in late 2017, as it started participating in the Bitcoin-led bull run that took BTC to $20,000, while ADA itself started at $0.026, and it reached $1.11 around January 4th, 2018.
After the crypto winter hit in the following weeks, ADA returned to its bottom, at around $0.1, which is where it mostly remained, with small fluctuations over the next few years. Meanwhile, the coin’s developers were working in the background for the entire time.
You see, Cardano’s team has developed a complex roadmap that consists of entire eras, split into smaller sections, each of which is marked by their work on specific upgrades to its blockchain. Cardano had great goals in mind right from the start, but it required time to achieve them and to do it right.
Over time, the project became known for taking things slow, not rushing or sacrificing its work just so that it would participate in the small surges that came along the way. Instead, its developers, as well as its community, were all convinced that Cardano’s time will eventually come and that the project will reach the heights it deserves once it is ready for them, both technologically and, for the lack of a better word, spiritually.
In other words, Cardano and ADA both needed the time to develop and mature, which finally started happening earlier this year.
Cardano in 2021
When it comes to the coin’s price, ADA started to surge in the last days of 2020, but it really took off in early 2021, going higher and higher with each new month. Partially, these surges came because of the market-wide bull run that was, once again, led by Bitcoin. In fact, Bitcoin had reached $30,000 almost before Cardano even started to move in a noteworthy way.
However, in 2021, the rest of the market finally started to react to the Bitcoin surge, and as BTC started reaching its own highest point, currently of $64,800 — the rest of the crypto sector did the same. For Cardano, that used to be $2.4, which was followed by a crash to $1, just as Bitcoin’s own price got cut in half.
However, unlike many other crypto projects, Cardano had another thing going for it, right from the start of this year. This is the year when the project’s devs finished the development of an entire series of upgrades, and they were launching them one after the other throughout the year.
Now, as September is only a few days away, Cardano itself is a few days distant from launching its next upgrade, which will see the introduction of smart contracts to its mainnet.
How will smart contracts impact Cardano and ADA?
The arrival of smart contracts is one of the most anticipated events in Cardano’s history, and it is expected to have enormous consequences for the project. Fortunately, they are all expected to be extremely positive.
As many likely know, Cardano is similar to Ethereum in the sense that it was imagined as a development platform, rather than a currency like Bitcoin. Its ADA coin is meant to be used within the project’s ecosystem, more than outside of it. So, with the launch of the smart contracts, ADA will get a near-unlimited amount of new use cases.
Smart contracts will enable users to create contracts with one another, develop dApps, launch DeFi tokens, NFTs, new coins and tokens of all kinds, and more, and so Cardano will finally reach its potential as a development platform.
Naturally, with the new use cases incoming, ADA price is bound to skyrocket, as it will suddenly be extremely sought after. Cardano’s ecosystem itself is likely to explode, and allow it to become one of the largest platforms in the industry, right up there with Ethereum and Binance Smart Chain.
In truth, nobody knows how high ADA can go, or how big Cardano will get. So far, we have seen its potential to skyrocket past any previous ATH and reach new ones, with the current largest resistance sitting at $3. However, if the predictions are correct, ADA could easily break this level and hit $3.34 in days to come, and as its development continues, the price of its native cryptocurrency could keep going further and further up, with no real limit.
To learn more about Cardano visit our Investing in Cardano page.