In the world of cryptocurrencies, Cardano ADA/USD has been a name that has caught the attention of many investors. Over the past year, the cryptocurrency has seen a sharp drop, however, still holding on to its title as one of the top 10 largest cryptocurrencies by market cap.
The Investment: If you had invested ₹10,000 in Cardano a year ago, on June 20, 2022, when the price was roughly ₹37 you would have received approximately 270.27 ADA coins.
Fast forward to today, with the current price level of around ₹21 your initial investment would now be worth approximately ₹5,675.67. This represents a decrease of ₹4,324.33 on your initial investment.
Background: Charles Hoskinson, the co-founder of Ethereum, founded Cardano in 2014 and launched it in 2017. Cardano, which uses a proof-of-stake model for its blockchain, competes with Ethereum and other cryptocurrencies. It stands out as one of the top energy-efficient blockchains, using less energy than Bitcoin.
In 2021, the bankruptcy of several cryptocurrency trading platforms and companies dealt a heavy blow to Cardano and other cryptocurrencies. However, the cryptocurrency market started strong in 2023, with the leading cryptocurrency Bitcoin up over 80% year to date. Cardano and other cryptocurrencies have been gaining in recent weeks thanks to Bitcoin’s surge, concerns over inflation, and the collapse of several banks.
Positive Events and Risk Factors: Cardano’s price has been under pressure due to factors such as rate hike fears, an SEC crackdown, and delisting from investment platforms like Robinhood. Despite these challenges, technical analysis suggests a potential recovery for Cardano in the coming months. However, the SEC’s crypto crackdown and the Federal Reserve’s potential interest rate hikes could dampen the strength of this rebound. As always, investing in cryptocurrencies carries significant risk, and investors should conduct thorough research before making decisions.
Price Action: At the time of writing, Cardano was trading at ₹21.34, down 0.41% in the last 24 hours. The cryptocurrency has traded between ₹18.87 and ₹48.42 over the last 52 weeks, a far cry from the all-time high of ₹254.45 hit in September 2021.
Disclaimer: Benzinga India doesn’t give financial advice. The above article is for educational purposes alone.
Editor’s Note: Artificial intelligence was used as a secondary aid in the writing of this story.
Investing in cryptocurrencies like Cardano involves significant risk due to their volatile nature. Investors should carefully consider their risk tolerance and investment goals before investing in the crypto market.
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