The famous company says that Cardano, instead of DOGE, can find the key to unlock its true potential with its aggressive move towards DeFi.
$1 is unrealistic for DOGE
The company said that it seems unrealistic for Dogecoin to skyrocket from its current price of $0.07 to $1 in 2023. This price marks an all-time high. It also means a new market capitalization of $132 billion, which would make Dogecoin the third most valuable cryptocurrency in the world, behind only Bitcoin and Ethereum.
Investing in cryptocurrencies is risky and speculative, especially with memes like DOGE. For that, at least three big things need to happen in 2023. The first is the market recovery, the second is the integration with Twitter, and finally the technology upgrade, but none of this seems very likely at the moment, according to the company.
Development activity in Cardano continues to rise
One of the biggest complaints ever made against Cardano is that it’s a ‘ghost chain’ where nothing important happens. In part, this criticism is true because Cardano has always lagged behind market leaders like Ethereum (ETH) when it comes to new innovations. For example, Cardano only rolled out smart contracts in 2021. This is exactly six years after Ethereum spawned them. Looking at the numbers, however, it seems that Cardano’s slow and steady approach to blockchain development is finally starting to pay off. cryptocoin.com As we mentioned earlier, Santiment recently stated that Cardano is the world’s #1 blockchain in 2022 in terms of development activity. This is largely because of how much code Cardano developers have put into open source repositories like GitHub.
Development activity is important because it likely indicates that new features are on the way or new products are about to ship. According to Cardano, 2022 saw a massive increase in on-chain growth as measured by metrics such as new blockchain wallets, overall transaction efficiency, and new partnerships and collaborations. Now that smart contracts are live on the Cardano blockchain, it opens up new opportunities in different market niches of the blockchain world, particularly decentralized finance (DeFi). All of this could help build new momentum around Cardano in 2023.
How realistic is Cardano’s $1 target?
Considering that Cardano is trading at just $0.25, a $1 price target is very aggressive. A lot of things have to go right for this to happen, and some of them are beyond Cardano’s control. Most obviously, the entire crypto market needs to reverse in 2023. If Bitcoin (BTC) drops another 65% next year, it’s hard to imagine any scenario where Cardano hits $1.
Currently, the consensus forecast for Cardano is that it will continue to trade in a relatively narrow band of $0.15 to $0.35 for the foreseeable future. Also, this is a very conservative range for a cryptocurrency looking to enter an entirely new market place in a big way. However, the company believes that Cardano will eventually see $1. However, a 300% increase in value over the next 12 months is probably too much to ask for a cryptocurrency that hasn’t traded above $1 since April 2022.