Cardano Price Forecast as Hoskinson Hints of a Bridge With Midnight

Key Insights

• Cardano price is hovering near its all-time low as the retreat continues.
• Charles Hoskinson hinted that Cardano will have a bridge with Midnight.
• The coin will likely continue falling, potentially to an all-time low.

Cardano price remained at its lowest level since October 2023 despite achieving some major milestones, including the Midnight mainnet launch, Pyth Network and Dune integration, and the introduction of the USDCx stablecoin on its chain. ADA token was trading at $0.2497, down by 75% from last year’s high.

Charles Hoskinson Hints of a Cardano and Midnight Bridge

Cardano price remained under pressure, with its volume and futures open interest continuing to fall. This sell-off continued even after Charles Hoskinson, its founder, announced that there would be a two-way bridge between Cardano and Midnight, the zero-knowledge proofs (zk) network it launched recently.

In his statement, he added that the bridges will operate in multiple ways and will evolve further as Cardano upgrades with zero-knowledge primitives.

This statement provided further clarity on how the two chains will operate going forward, given that they are built on different architectures.

Cardano price has reacted mildly to the recent launch of Midnight, which it hopes will become a major catalyst for its network growth in the next few years. For one, Midnight will focus on the privacy, which has become a major theme in the crypto industry.

Cardano’s Network Growth Has Stalled This Year

These developments occurred at a time when Cardano’s growth had decelerated, despite the team having achieved major milestones. For example, the developers onboarded Pyth Network as an oracle last year.

This was a major move, as Pyth is one of the largest oracle networks in the crypto industry, powering popular dApps such as Jupiter, Kamino, Drift Network, and Euler. For a long time, Cardano lacked a tier-1 oracle network, which explains why it did not attract developers.

Cardano also onboarded Dune on its network, allowing it to provide users with data on its usage and growth. And most recently, it added the USDCx stablecoin, which is backed by the USDC token.

Despite these developments, Cardano remains a ghost chain, with no activity on the network. Its stablecoin supply remains at $47 million, giving it a tiny market share in an industry with over $310 billion in assets.

Cardano has a total value locked (TVL) of just $136 million. In contrast, Base, which was launched in 2023, has $4.23 billion, while Plasma has $1.83 billion. Other recently launched chains like Provenance, Ink, Monad, and Katana have more assets than Cardano, which was launched over a decade ago.

The Midnight mainnet launch has also not helped Cardano grow its activity in the decentralized exchange industry. Its DEX volume dropped to $53 billion in the last 30 days, which is a tiny amount. Also, Cardano has no projects in the booming AI and real-world asset (RWA) tokenization industries.

These numbers explain why Cardano, despite its market capitalization, has not received approval for an ETF. Only Grayscale applied for such a fund, which is yet to be approved. Chances are that, like Polkadot and Avalanche, its ETFs would have no inflows.

Cardano Price Prediction: Technical Analysis

The weekly chart shows that the ADA price has slumped to its lowest level in years as demand from investors waned. The decline is also in line with the ongoing crypto market crash,which has affected Bitcoin and most altcoins.

The token recently crossed the important support level at $0.5060, where it formed a triple-bottom pattern last year.

Cardano has crashed below the 50-week Exponential Moving Average. It has also moved below the Ichimoku cloud indicator, a sign that bears are still pounding.

The token’s Relative Strength Index has continued falling and is now at the oversold level of 30. Other oscillators, like the Stochastic and momentum, have continued falling.

Therefore, the most likely ADA price prediction is bearish. If this happens, the next key target will be its all-time low of $0.2250.

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