Popular crypto analyst Dan Gambardello recently dropped a very bullish prediction for the Cardano (ADA) price. This analyst claims that the ADA will rise to $11 in the next extended bull cycle, an incredible 1700% gain from the current price level.
Unlike many, the analyst did not just pull that prediction out of thin air. According to him, the prediction was based solely on ADA’s historical data and previous actions.
$11 Cardano is a very realistic figure for a bull market high, based on new data I just discovered.
Video later explaining why.
— Dan Gambardello (@cryptorecruiter) December 12, 2023
Forecast based on historical price analysis
Cardano has posted one of the best price gains among the major altcoins this year. This price spike has drawn predictions from several analysts, with some predicting very bullish rates than others. According to a video shared by Gambardello, if history repeats itself, ADA could rise to a market cap of $400 billion by 2025.
How did he get this number? Well, data has shown that the price of Cardano (ADA) is always correlated with the past actions of Ethereum (ETH). A weekly timetable shared by the analyst in a video on social media platform ADA peaked to a total market cap of $93 billion, a 75% correlation to ETH’s $123 billion at its 2017 peak.
It is important to note that both Ethereum and Cardano were not well known for their DeFi capabilities in this initial phase. Now it appears that ADA is gearing up to enter Ethereum’s first DeFi bull cycle phase in 2021, where it peaked at a market cap of $546 billion.
Cardano’s blockchain has grown since its first phase, with the network now one of the fastest growing in DeFi and smart contracts. If this cycle is consistent with the previous one, a 75% performance of ETH’s market cap peak will bring ADA’s to $409 billion by 2025. At this point, ADA could speculatively have a total crypto market dominance of 4% and peak at over $11. .
ADA price at $0.65 | Source: ADAUSD On Tradingview.com
Gambardello correctly predicted ADA’s all-time high of over $3 in June 2020, a year before the crypto reached this price. The analyst also noted another scenario in which the spike does not reflect 75% of Ethereum’s DeFi cycle. According to him, a lower market cap of $350 billion would put the ADA at $10, much higher than the current all-time high.
Current state of Cardano
ADA has posted a 13.81% gain in the past 24 hours, boosted by a $1.5 billion increase in whale transactions. The crypto rocketed to $0.6776, registering a new yearly high. At the time of writing, ADA is trading at $0.6527, up 73% from its December opening of $0.376.
According to another social media post from Dan Gambardello, Cardano is now at a decision point between a continued rise to $0.75 and a return to $0.41.
Featured image from Medium, chart from Tradingview.com
Disclaimer: The article is for educational purposes only. It does not represent NewsBTC’s views on buying, selling or holding investments and of course investing involves risks. You are advised to conduct your own research before making any investment decisions. Use the information on this website entirely at your own risk.