Key Insights
- Cardano recently implemented its Plomin upgrade, which is the last phase of development for the network.
- This upgrade has made Cardano one of the most decentralized networks in the world, among other things.
- It also aligns with the Cardano vision of serving a billion people by 2030.
- The hype has a fair chance of pushing ADA towards the $2 mark, if the bulls continue the momentum.
- Cardano only needs to break above the $1 mark to reclaim its bullish sentiment and reach these new highs.
Cardano has hit one of the most important milestones in its development, with the implementation of the Plomin hard fork.
This new development marks the completion of the Cardano roadmap, and has introduced full decentralized governance to the network.
Will the hype from this major update cause a Cardano spike?
The Three Pillars of Cardano’s Future
According to Input | Output (IO), Cardano’s development firm, the Plomin hard fork is focused on scaling the network.
It will also increase Cardano’s usability, multi-chain functionaluty and scaling with these three factors set to transform Cardano into one of the most powerful networks.
Cardano will also work well with other chains, including Bitcoin.
One of the core visions of this upgrade is to allow Cardano to support billions of users by 2030.
According to Charles Hoskinson, IO aims to achieve this by implementing multiple solutions like the Hydra Scaling Solution, Layer 2 rollups and the Ouroboros Leios.
All of the above are set to position Cardano as one of the most efficient chains in Defi.
We might even see Cardano challenge defi heavyweights like Ethereum and Solana soon.
Cardano Price Updates
So far, Cardano has proven itself to be one of the most resilient cryptocurrencies on the market.
The cryptocurrency recently crossed the $0.95 mark and is up by around 5% since the launch of this upgrade.
On the other hand, CoinMarketCap data shows that the cryptocurrency is up by less than 1% on the daily timeframe, indicating that the bulls might need time to get on their feet.
Coinglass data shows that the cryptocurrency’s open interest is also holding above the $1.2 billion mark, indicating that the bulls might still be finding their feet, but they are still interested nonetheless.
Can The Hype Drive Price Towards $2?
According to the charts, Cardano recently broke above resistance around $0.9258, before the $0.95 price level it currently sits at.
The cryptocurrency trades within an symmetric triangle, which typically results in a breakoit towards either direction.
However, Cardano is now testing its 50-day EMA and could be looking towards hitting the upper trendline of this formation anywhere around the psychological $1 mark.
It should also be noted that a breakout from this formation towards the upside could lead to a 40% – 110% price increase towards the $1.5 and $2 range.
On the flipside, the cryptocurrency’s immediate support sits at around $0.8566 and a break below could signal a bearish takeover.
The odds of this, however, are slim considering the incoming bullish crossover in the daily chart between the RSI signal line and the MACD.
This said, the bulls appear to be much in control, and Cardano only needs to break above the $1 mark to bring a fresh wave of optimism into the market.