Cardano, ranked #1 in development activity, why is its price at risk of plummeting to $0.10?

▲ Cardano (ADA)/AI generated image ©

Cardano (ADA), which has achieved the overwhelming performance of ranking first in development activity in the global virtual asset ecosystem, surpassing Ethereum and Ripple, is paradoxically facing a shocking prediction that its price could plummet to $0.10, trapped in a multi-year long-term bear market.

According to the cryptocurrency specialized media Bitcoinist on April 24 (local time), Cardano is leading the market at the forefront of innovation within the blockchain industry through continuous updates and infrastructure expansion. The dedication of developers, focused on long-term scalability and functionality rather than short-term price volatility, is solidifying the network's fundamentals.

According to data from Everstake, a global staking infrastructure provider, Cardano currently accounts for over 8.9% of the total Layer 1 market share. Notably, it recorded an astonishing 478,100 cumulative code commits, surpassing all competing mainnets including Ethereum (ETH), XRP (Ripple), and BNB Chain, to rank first of all time. Everstake stated that such explosive developer activity is the most reliable indicator of a project's long-term fundamental strengths.

However, unlike the network's brilliant technological growth, Cardano's actual market price has yet to escape the cold winter. Crypto analyst Tradingshot diagnosed, through weekly chart analysis, that Cardano has been stuck in an endless multi-year downtrend cycle since December 2, 2024.

With the second downward wave of a 5-year long-term channel currently underway, Cardano's current position, based on weekly bullish divergence indicators, closely resembles the slump of June 2022.

The analyst warned that if the 2022 downtrend cycle were to repeat exactly, Cardano's price would continue its freefall to the $0.10 mark by the end of this year. However, from a technical perspective, for investors preparing for the upcoming bull market, the $0.10 to $0.09 range would be an ideal long-term buying opportunity.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*