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When crypto investors are looking for digital tokens to invest in, Cardano features prominently. Why Cardano? It was one of the cryptocurrencies that experienced massive growth in 2021, recording a whopping 940% price increase. The wider adoption saw it move into the top 10 biggest cryptocurrencies. The layer one blockchain is posing a big competition to Ethereum by leveraging scalability, sustainability, and flexibility.

About Cardano 

Cardano aims to be a third-generation blockchain that promotes fast and direct transfers. It enables developers to use smart contracts technology to create DeFi, games, and new tokens. The blockchain uses an eco-friendly, peer-reviewed proof of stake consensus mechanism known as Ouroboros. 

While the price of ADA declined in the first quarter, indicators show the bulls are gaining ground. The price has increased to the highs of the month. But what is the next stop for the price of ADA?

Let us find out.

CryptoPredictions.com Forecasts 

To get an idea of where the price of Cardano is headed let's start with exploring what the algorithm forecasts by CryptoPredictions.com. The website combines artificial intelligence and mathematical computing to predict the future price of ADA in AUD. 

2022 - 2025 Predictions 

Crypto predictions expects the price of ADA to average 1.549 AUD ($) in April. In May the average price is forecasted to drop slightly to $1.544 ranging between $1.313 and $1.931. The algorithm projects the price could proliferate and reach a high of $2.656 in the first half. The bears could however take control and push the price to lows of $1.806. 

In the third quarter of 2022, the price is expected to average between $1.797 and $2.595. However, the decline could resume in the fourth quarter with ADA ranging between $1.743 and $2.563. In November the price is predicted to average $2.017 and drop to $1.976. The site expected the price to oscillate between $1.68 and $2.47 in December. 

The forecast shows the price may trade around the same region in 2023. If bulls take control of the market the price could eventually hit $2.4towards the end of the year. During the year the price will find support $1.37. 

According to CryptoPredictions.com forecast, ADA value growth is likely to continue as various factors push the price higher. The automated predictor shows the price could surpass the $3 market in mid-2024 before eventually hitting the $4 mark in 2025.

Finders Expert Prediction 

The price of ADA hit an all-time high of$4.109 in September partially due to the expected Alanzo upgrade. A free fall followed from September to January 2022. However, the price has now recovered and is trading above $1.33. Crypto experts project growth in the price of ADA with a bullish movement extending from 2022 up to 2030. 

A panel of Finder.com fintech experts predicts that the price of ADA will reach $3.711 by the end of 2022. In fact, 10% of the panel opine that ADA will be the best performing altcoins in 2022. Now trading at $1.7423, this means the price will jump about 150% by the end of the year. 

Despite the recent dip, the experts have high expectations of the value of ADA. Their recent 2022 predictions of ADA are higher than the previous survey. A July survey predicted that the price of ADA will hit $9.66 by the end of 2025 and proliferate to $35.365 by 2030. The current prediction projects the price to reach $10.88 by the end of 2023 and grow more than 5 times to reach $77.193 by 2030. 

One of the panelists Bilal Hammoud CEO at NDAX opines that the value of ADA is undervalued. However, John Stefanidis, CEO of Balthazar's, sees the price of Cardano dipping due to poor technology and lack of project execution. Remember, the panelists have attributed the recent price decline to the lack of the total locked value (TVL) feature. 

Price Drivers 

Alonzo upgrade

The much-awaited Alanzo hard fork was launched in 2021. PinkSale argues that the upgrade has a functionality that allows the creation of dApps and minting NFTs. While the upgrade was surprisingly followed by ADA value decline, developers' activities on the blockchain have increased significantly. The commits per month (CPM)hit 700, almost twice as much as the second-ranked Ethereum. 

High developer activity points to a fast-growing network and the smart contracts will only boost the trend higher. However, the real utility hasn’t reached optimal levels. Johnny Lyu Kucoin CEO pointed out that the achievements won't come in a short time. It could take several months before the DApps operate at full capacity. But upon full capacity, the value of ADA could hit higher highs. 

Project Catalyst Fund8

Cardano's Project Catalyst is an innovation that collects and funds new ideas and proposals every three months. It is the biggest decentralized fund globally. ADA Fund8 has gone live on the project catalyst program with USD 21.28 million in the Cardano treasury. Some of the projects the fund is expected to fund are DeFi proposals.

The program aims to accelerate and avail resources towards the development of new opportunities and ultimately grow the ecosystem. The development of new projects could significantly boost the price of ADA.

Emurgo Collaboration

At the beginning of the year, the Cardano platform entered a partnership with Emurgo, a community-generated and maintained tool stack. It expedites the creation of decentralized apps, supports smart contracts infrastructure, and gives developers more possibilities for developing solutions. Ultimately it could enhance the Cardano ecosystem.

SundaeSwap DEX

In January Cardano announced the SundaeSwap decentralized exchange (DEX). The much-anticipated event saw the price of ADA jump to $1.69. However, there are complaints of failing transactions on social media which have the development on a bumpy ride.

Djeed Stablecoin

Djed is one of Cardano's successful Realfi projects. The stablecoin was developed by IOG and issued by COTI. It is the first algorithmic stablecoin to remove price volatility using formal verification and will help ensure price stability and efficiency of DEfi transactions. 

Reforestation Push

In February 2022, Cardano partnered with Viteree reforestation company based in Canada to plant one million trees. This solidifies its commitment to preserving the environment, an attribute that endears it to eco-conscious investors.

Technical analysis

ADA, similarly to Doge, has been on a decline since touching an all-time high in August 2021. In February 2022, the price was one year low, going back to $1.004 the price it last touched in February 2021. 

The Cardano native coin has formed a rounded bottom in what would become a cup and handle chart pattern. The pattern signifies that the bearish trend has ended and bulls are about to take over the market. How high it will go is a matter of wait and see.

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The moving average has also changed from a downward direction and crossed above the ADA price action. This signifies that the price is set for an uptrend.

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According to the Fibonacci retracement, the next step is $2.128 which coincides with a 1.618% Fibonacci level and a resistance area. Other areas of interest are $2.793 (2.618) and $3.458 (3.618%). Beyond that, the next resistance is at the all-time highs. If it smashes this level, investors should get ready for $5 or $10.

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Final Note

ADA provides a platform for developing smart contracts for the creation of decentralized apps (dApps) including DeFi projects. Cardano investors reaped massive returns in 2021 from the digital token. The much-awaited Alonzo didn't however push the price to the expected highs. However, the project has a selection of projects which could boost its value. That notwithstanding, the price action is already set from a bull run. Get your trading tools ready!