Prominent Cardano (ADA) Ecosystem Participant Makes a Bold Prediction

A prominent Cardano (ADA) ecosystem participant has elated the community

A prominent Cardano ecosystem participant has elated the community with a prediction that ADA could reach $20 if a recent partnership runs its full course.

The optimism stems from a new analysis by Altcoin Oracle, a delegated representative (DRep) in Cardano’s newly integrated decentralized governance system. In an April 17 tweet, he shared a bullish prediction regarding the possibility of Cardano reaching $20.

The analysis arose from a question posed by DRep to the AI bot ChatGPT regarding the implications for Cardano by 2030 if the layer 1 network becomes a primary Bitcoin decentralized finance (DeFi) enabler.

For the uninitiated, Cardano founder Charles Hoskinson has spoken at length about this project, which stems from a partnership with BitcoinOS, and its implications for the blockchain.

Last year, Cardano’s development arm, EMURGO, partnered with BitcoinOS to introduce DeFi features on the network that houses the pioneering blockchain network. The project, which Hoskinson has noted is the ecosystem’s main focus this year, will unlock smart contract properties for Bitcoin developers and leverage the network’s over $1.6 trillion liquidity for the Cardano ecosystem.

"What would happen if, by 2030, the Cardano network becomes the primary network for Bitcoin DeFi, enabling Bitcoin users to access lending, borrowing, and yield-bearing protocols on Cardano?" the DRep asked the AI bot.

ChatGPT responded that, in such a scenario, Cardano’s market cap would likely be in the range of $500 million to $1 trillion, fueled by the influx of liquidity and the potential for greater institutional adoption of DeFi on the Cardano network.

Considering a market cap and a hypothetical supply of 50 billion ADA, the AI bot predicts a surge to between $10 and $20, a 1,522% and 3,144% increase from the current price. However, if Cardano maintains its current supply of 35.28 billion, the asset will rally to between $14 and $28 on the same valuation.

Moreover, the bot predicts that Cardano would rival Ethereum in terms of total value locked (TVL) and decentralized applications.

According to DeFiLlama, Ethereum's TVL in DeFi stands at $46.32 billion, making up about 52% of the total TVL across all crypto networks. In comparison, Cardano's TVL is a meager $288 million, while newer chains like Aptos and Sui Network have surpassed the blue-chip network with $973 million and $1.2 billion in TVL, respectively.

As a result, the hypothetical widespread adoption that would stem from the collaboration would ensure that Ethereum has a proper DeFi contender in Cardano.