Analyst Says Cardano Now 10x Stronger than Last Cycle

Analyst Dan Gambardello says Cardano (ADA) is now ten times more robust this season than it was in the last cycle.

He cited various developments that have shaped the network’s growth over the past three years to reinforce his perspective on ADA’s potential for a substantial bull run this season.

Why Cardano is Seen as 10X Stronger

First, Gambardello pointed out that the Cardano project is now community-owned, indicating a fully decentralized blockchain. Notably, this status emerged following the recent network update brought by the Chang Upgrade. The Chang team launched the technical upgrade on September 1 after several months of anticipation.

Gambardello also noted that the Cardano development team, Input Output Global, has burned the genesis keys. This action is linked to Cardano’s transition into community management. The Cardano founder announced the destruction of the genesis keys in a post on X days before the official launch of the Chang Upgrade.

Another key factor Gambardello believes has strengthened Cardano in this cycle is Hydra. This is Cardano’s layer-2 scaling solution, designed to enhance transaction throughput. This technology aims to maintain Cardano’s security and decentralization while addressing scalability challenges.

Cardano’s Improved Market Position

Furthermore, the analyst noted that Cardano boasts a stronger market position now than in the last cycle. In October 2020, when ADA traded at a significantly low price before its all-time high rally, it had a market cap of just $2.997 billion, ranking at position 12.

However, as of today, ADA commands a market cap of $12.64 billion while in a similar cycle position as four years ago.

Gambardello also emphasized Cardano’s resilience during challenging times since the last cycle. He pointed out that Cardano maintained a position in the top ten market rankings throughout the bear markets of 2022 and 2023.

While it mostly maintained a top ranking, it has recently slipped out of the top ten amid its underperformance in the current bull season.

Pivotal Partnerships

Other factors Gambardello cited that he believes make Cardano 10x stronger include extensive partnerships, an expanded DeFi ecosystem, and robust security offerings.

Notably, in September, Cardano’s founding entity, Emurgo, announced three partnerships to bolster the blockchain’s global integration, enhance interoperability, and attract investors. Additionally, Cardano is engaged in multiple collaborations with the government of Argentina to integrate blockchain into public administration.

Gambardello has highlighted these factors to strengthen his bullish perspective on Cardano this season. In previous analyses, he argued for a potential all-time high of $11 for ADA.