Considering all the fuzzy around BTC, Elon Musk criticism about Carbon etc etc. I am totally biased by the great technology and eco-friendly approach of Cardano. Researching around I’ve found a lot of good reasons justifying the strengths of ADA and I would like to see if more people are on the same page as me.
Cheers!
Yes, the case for ADA increasing in value is strong. Though the question can be interpreted in two ways.
First - will the price of an ADA token exceed that of BTC? Well, ADA is $1.73, and BTC is $36,300. So the entire Crypto market capitalisation would need to move from its current value of $1.67 trillion by over 20,000 times for this to be the case, or BTC would need to fall to a value of, let’s say $1.72 per token. I do not think either scenario is likely.
Second - is the market capitalisation of ADA likely to overtake that of BTC? BTC MCAP today is $630 billion whereas the same for ADA is $55bn. So ADA would need to increase its value by $630/$55 = 11.4 times, whilst the value of BTC would need to remain static. Whilst I do not believe the value of ADA will exceed that of BTC, I do believe that ADA will make part of its journey north faster than BTC might. And that comes down to timescale.
I bought ADA at $0.055 last year and was delighted to sell it all in Dec20 for a 160%+ profit. I converted it into BTC. In April, I bought a smaller sum of ADA at $1.255. In any other market on earth, nobody contemplates buying an instrument at over 20 times its last year’s value, but in both cases I followed an accumulation plan based on some rules I set up mid 2020. The rules have only slightly changed. I hold six crypto currencies, and am about to change that to holding 10 cryptos in 80% of our portfolio, and an indeterminate amount in the remainder 20% of the portfolio. The 80% is for long term holding and the 20% is for mooning without sticking my a** too far out of the car window.
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