Outside Source
TL;DR
- Cardano’s ADA price surged 50% in a month, hitting a nearly two-year high, with predictions of further significant upswing.
- The rise is accompanied by a record high total value locked (TVL) on the Cardano network, suggesting growing ecosystem stability.
Cardano’s ADA has caught the recent green wave in the cryptocurrency industry, witnessing a price increase of about 50% on a monthly scale. Currently, the asset hovers at $0.72 (per CoinGecko’s data), the highest level observed in almost two years.
Some analysts have recently noted ADA’s uptrend, predicting further gains in the upcoming months. The popular X user Ali suggested that the token appears to mimic its previous bull cycle, envisioning a “parabolic” spike to as high as $10 (should the trend remain the same).
#Cardano seems to be mirroring its previous bullish cycle. If this pattern continues, we could witness a brief correction before $ADA goes parabolic toward $10! pic.twitter.com/6kDxDhxsEg
— Ali (@ali_charts) March 4, 2024
A few days ago, Dan Gambardello chipped in, too. He pointed out the $0.69 level as a major resistance zone, arguing that ADA could open its “bull doors” should it overcome it. He also forecasted that the asset would exceed the $0.80 mark this week.
ADA’s latest upswing coincides with a rising total value locked (TVL) on the Cardano network. According to DefiLlama, the figure climbed to an all-time high of over $500 million on March 4, currently standing at around $490 million.
Surging TVL could be a contributing factor for the price rally. The metric refers to the entire amount of crypto assets deposited in a particular DeFi protocol, and its uptick might be considered a sign of stability in the relevant network.
However, the relationship is not always directly proportional. Rising total value locked could be a result of the bull market, in which case new funds do not enter the ecosystem, but the valuation of the locked assets heads north in resonance with the prices.
Those willing to dive deeper and explore other important ADA predictions for 2024, feel free to check our dedicated video below:
This article first appeared at CryptoPotato
