The cryptocurrency space continues to heat up, and Cardano (CCC:ADA) may be the latest beneficiary. In fact, with prices up roughly 15% in the last 24 hours, ADA is nearing Cardano price predictions of $1. If the crypto can pull through, it would cross resistance from 2018. It would also represent big gains for a token that was once tiny.
So where should investors start? Maybe at the beginning. As CoinDesk writes, Cardano is a non-profit platform with three separate bodies responsible for maintaining it. ADA, the cryptocurrency on that platform, continues to intrigue bulls. In fact, Cardano has leapt ahead in just the first few weeks of 2021. Starting the year with a market capitalization near $5.6 billion, it now rests at a value of more than $30 billion.
By just that metric, Cardano is now larger than popular cryptos XRP (CCC:XRP) and Polkadot (CCC:DOT).
That is where recent Cardano price predictions play a role. As InvestorPlace contributor William White wrote recently, experts have been calling for ADA to hit $1. Some have even set more bullish targets of $2. After its rally this week, the token has pulled away from that $1 resistance and is trading for roughly 95 cents. For investors, that may mean $1 will soon be in the rear-view mirror, and Cardano could soon be setting a new all-time high.
A large part of this rally comes from broad interest in cryptocurrencies. Bitcoin (CCC:BTC) and Ethereum (CCC:ETH) continue to set new records, and investors are getting on board the digital currency train. Additionally, mainstream support continues to grow, with news out just today that Mastercard (NYSE:MA) will start allowing merchants to accept payments in cryptos.
However, there are a few catalysts more specific to Cardano for bulls to watch.
Cardano Price Predictions: Where Will ADA Go?
So with the ADA token already so near Cardano price predictions, what comes next?
As some crypto fans believe, the sky is the limit. In fact, one writer said that 2021 will be the year that we really see Cardano shine. Behind his argument is the fact that soon, the Cardano platform will be fully decentralized. This ties into a growing interest in decentralized finance (DeFi), and it also shows the potential for bulls to opt for ADA instead of Ethereum. Plus, we are starting to see a resurgence in altcoin popularity with Bitcoin crossing $47,000. Some investors simply want a lower-cost entry point to get into the cryptocurrency space.
Lastly, financial support for cryptocurrencies like Cardano continues to increase. Just yesterday, Binance announced it will facilitate locked staking on ADA. This means users will be able to stake at least one unit of ADA, and up to 1,000 tokens. During the locked period, users will receive 21.79% in an annual yield, and Binance will pay out that interest to spot wallets daily. As InvestorPlace Markets Analyst Tom Yeung put it, this is a sort of savings account for cryptocurrencies.
With $1 price predictions quickly seeming like a thing of yesterday, Keep Cardano and the ADA token on your radar.
On the date of publication, Sarah Smith did not have (either directly or indirectly) any positions in the securities mentioned in this article.
Sarah Smith is a Web Content Producer with InvestorPlace.com.