The cryptocurrency community has set a bullish price target for smart contract platform Cardano ($ADA) this month, presumably taking into account the network’s growing adoption.
According to estimates made on CoinMarketCap’s pages, the average of nearly 3,400 cryptocurrency community members points to the smart contract platform’s price trading at $0.495 by the end of January, representing a 94.6% rise from $ADA’s current $0.254 level.
The cryptocurrency community seemingly becomes more bearish on the cryptocurrency as time goes on, with estimates for the end of May being at $0.3, representing an upside of over 20% for the smart contract platform.
It’s important to point out that the cryptocurrency community’s predictions may not come to life at all. According to the platform, the community’s historical accuracy is of little over 41%, with recent data showing it was at around 60% in September and October 2022 to hit 6.8% in December.
As CryptoGlobe reported, $ADA could be “severely undervalued,” as on-chain analysis suggests there is a bullish outlook for the cryptocurrency that could see its price rise.
That’s according to on-chain analytics firm Santiment, which revealed in its analysis that $ADA hark and whale addresses – those holdings between 100,000 and 10 million tokens – have been aggressively accumulating over the past six weeks, while the cryptocurrency’s price keeps on dropping.
In its latest Asset Report, CryptoCompare revealed that following the collapse of FTX there was a rising trend in users moving their assets off of centralized cryptocurrency platforms and moving them to decentralized solutions and self-custody.
The move, CryptoCompare wrote, led to a spike in average daily active users on the smart contract platform. In total, Cardano’s daily active users rose 15.6% to 75,800 last month, the highest number recorded since May.
Similarly, monthly transactions on the Cardano network also rose 5.34% to 2.32 million last month, marking the largest transaction volume since April.
Santiment’s analyst observed that when examining realized gains and losses, there are indications that sellers are becoming depleted, as on “every significant drop in price, there are fewer and fewer coins being sold at a loss.”
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