Cardano (ADA) price analysis: Is ADA a good price in August 2021?

on Aug 2, 2021
  • Cardano will allow users to run smart contracts after the hard fork.
  • Cardano will also be launching a connector that bridges the ADA Wallet to dApps.
  • The increase in circulating supply of the ADA token could result in an increased value.

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Cardano ADA/USD is a public blockchain platform that is expecting a hard fork known as Alonzo, expected to make large improvements to the network. This being the case, the following months are essential for the growth as well as the functionality of the blockchain as well as the ADA Token.

Alonzo as a catalyst for growth

On August 1, the founder of Cardano, Charles Hoskinson, updated the community on updates regarding the blockchain. He claimed that things are on schedule and that things are moving along nicely in regards to the Alonzo hard fork. This is a showcase that the blockchain is constantly being improved upon, and with the media attention, the ADA Tokens are bound to see an increase, especially given the increase in the circulating supply we’ll end up seeing after the hard fork.

EMURGO, which is a founding Cardano (ADA) entity, announced that it will launch a new platform intended to bridge the interaction between ADA users and decentralized applications (dApps) on the blockchain network. This will be done through the rollout of the Yorodi dApp connector, which will essentially get ADA holders access to decentralized applications on the Cardano blockchain directly from their browsers through a plugin. Through this plugin we can expect a much higher level of Cardano activity in terms of the circulating supply.

Should you buy Cardano (ADA)?

On August 1, Cardano (ADA) had a value of $1.31.

It experienced its all-time high value of $2.45 on May 16 of 2020, which gives us a perspective of how high the token has risen in value historically. When we compare it to its value on August 1, there is a 46% difference.

However, to get a clearer perspective of its recent hikes and drops in value, we will be analyzing its performance in July.

On July 4, it got up to $1.49, making it one of its highest recent points. On July 20, it dropped to $1.02, which gives us a perspective as to how low it has gone. Comparing July’s high with the all-time high, there is a 39% drop in value, or in other words, that much potential for the token to regain its value.

According to data from IntoTheBlock, Cardano (ADA) has experienced $16.41 billion in transactions greater than $100.000 in the last 7 days. 

Furthermore, we can see an 8% increase in the trading volume of ADA tokens within the last 24 hours, which signals a heightened activity of the blockchain.

This being the case, at $1.31, ADA might be a worthwhile purchase as we can expect its value to rise by 40% after the hard fork rolls out, which would result in a value of $1.83 within the span of the month.