Cardano (ADA) Price Prediction: Could It Reach Its All-Time High of $3?

Cardano price has experienced a decline from its November peak last year while other altcoins were rising. However, experts believe ADA could be poised for a significant recovery

Cardano price has been lagging while other altcoins are rising, but experts believe the network could be setting the stage for a strong return to reach new all-time highs.

This is possible as Cardano is preparing to launch Bitcoin staking and integrate with BitcoinOS.

Upcoming integration with Bitcoin will be a major catalyst that could transform Cardano’s market position and silence critics who have labeled it a “ghost chain” – a blockchain with limited ecosystem support.

How Bitcoin Staking Will Work on Cardano

The planned integration between Cardano and Bitcoin aims to bring true blockchain interoperability. This technological advancement will enable Bitcoin holders to generate yields by utilizing Cardano’s smart contract capabilities.

Linda, identified as a member of Minswap, a leading Cardano decentralized exchange, highlighted the significance of this development.

“Bitcoin and Cardano are integrating in a way that brings us closer than ever to true interoperability. This integration will be the biggest game changer in decentralized finance, opening up a world of opportunity for Bitcoin holders,”

she stated in a video shared on X (formerly Twitter).

This integration is crucial as it provides a decentralized solution, in contrast to previous attempts by centralized platforms like Celsius, which collapsed in 2022.

Cardano’s approach involves ZK smart contracts, which have a single purpose: to verify transaction validity. This design makes them highly secure, as they can only be compromised through a 51% attack on the network.

Impact on Cardano’s Ecosystem

If successful, this integration could funnel billions of dollars worth of Bitcoin to the Cardano blockchain. Such an influx would significantly boost Cardano’s Total Value Locked (TVL), which currently stands at approximately $330 million.

Increased TVL would likely drive higher network activity and potentially push the ADA price upward as demand increases. The integration effectively addresses one of the main criticisms of Cardano – its limited DeFi ecosystem compared to competitors.

By providing Bitcoin holders with a secure way to earn passive income, Cardano positions itself as a valuable bridge between the largest cryptocurrency by market cap and the expanding world of decentralized finance.

Technical Analysis Points to Bullish Outlook

Chart patterns also suggest that ADA may be on the verge of a strong upward movement. Technical analysts have identified a falling wedge pattern on Cardano’s weekly chart, which is typically considered a bullish signal.

This pattern has formed by connecting the highest and lowest price swings since December, with the two trend lines converging toward a point of confluence.

Furthermore, analysts note that ADA price appears to be in the second phase of an Elliott Wave pattern. If this pattern continues as expected, the price would enter the third phase – typically the longest and strongest.

In this scenario, ADA would likely first reach $2, then experience a pullback to around the 50% retracement level, before potentially climbing to its all-time high of $3 in the longer term.

However, this positive outlook would be invalidated if the price falls below $0.311, which was the low point reached in November. This level coincides with an ascending trendline that has connected the lowest points since January 23.

Currently, ADA is trading around $0.61, with a market capitalization exceeding $21 billion. While trading volume has seen a recent 13% decrease to approximately $593 million according to market data, the fundamental developments with Bitcoin integration may soon outpace short-term market fluctuations.