Cardano price is up 114% since May, is it still a buy?

Cardano price is up 114% since May, is it still a buy?
Written by:
Stanko Iliev
26th September, 13:18

The price of Cardano (ADA) has advanced from $0.045 above $0.15 in less than five months and the current price stands around $0.094. The current price is still far away from the Cardano price predictions but if the price jumps again above $0.10 that could be a very good opportunity for the short-term traders.

Fundamental analysis: The fundamentals of this cryptocurrency are improving

Cardano is an entirely open-source that represents identity, value and governance, all in one platform. Cardano has its own cryptocurrency known as ADA and according to analysts, this project could deliver more advanced features than any project previously developed.

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The founder of Cardano, Charles Hoskinson said recently that only one currency will be in operation going forward. Cardano could bring greater financial inclusion and this project will eventually have the ability to issue stocks, bonds, commodities and utility tokens.

This is the world’s first peer-reviewed blockchain and Cardano’s platform consists of two layers, the Cardano Settlement Layer (CSL) and the Control Layer. The Settlement Layer is used to settle transactions while the Control Layer is used for smart contracts.

A very good team stands behind this project, the fundamentals of this cryptocurrency are improving but there’s still a level of uncertainty surrounding the project. Cardano is already connected with various payment programs but one of the factors to consider before deciding whether or not to buy this cryptocurrency is the competition that Cardano faces from other similar projects.

We can also not forget that regulations on the cryptocurrency market can actually be a threat to this cryptocurrency. Investors in Cardano should have in mind that this is a still very risky cryptocurrency but now could be a good time to trade Cardano (ADA).

Technical analysis: Bulls are focused on breaking the resistance level at $0.10

Cardano price extended its correction from the recent highs above $0.15, registered in the last week of July and the current price stands around $0.094.

Data source: tradingview.com

On this chart, I marked important resistance and support levels. The important support levels are $0.080 and $0.050, $0.10 and $0.15 represent the resistance levels. If the price jumps above $0.10 it would be a signal to buy Cardano (ADA) and we have the open way to $0.12.

Rising above $0.15 supports the continuation of the bullish trend and the next price target could be located around $0.20. On the other side, if the price falls below $0.080 it would be a “sell” signal and we have the open way to $0.070.

Summary

Cardano is an entirely open-source that is already connected with various payment programs but there’s still a level of uncertainty surrounding the project. There are some obvious risks when it comes to buying Cardano currently but if the price jumps above $0.10 it would be a signal to buy this cryptocurrency and we have the open way to $0.12.

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