The just-concluded year of 2022 was a particularly difficult one for cryptocurrency investors. It was the polar opposite of 2021, when several cryptocurrencies skyrocketed to all-time highs and the overall market capitalization of the industry surpassed $3 trillion.
The global cryptocurrency market cap has fallen to over $800 billion as investor confidence reaches record lows. Cardano's ADA was also impacted by the market, falling gradually to its lowest point of the year at $0.239. The ADA bulls discovered support at this level and leveraged it to launch a rally.
Since Dec. 30, 2022, ADA has posted four consecutive days of gains. It is also trading in the green on the second day of 2023. At the time of publication, ADA was trading at $0.25, up 4% in the previous 24 hours. If bulls maintain their momentum, ADA might retest or surpass the $0.266 mark next.
Here are predictions
The Crypto Capital Venture founder, Dan Gambardello, predicts Cardano will be a top altcoin to hold in 2023, and most people will not realize it until it is 1,000% up again.
#Cardano will be a top altcoin to hold in 2023 and most people won't realize it until it's 1,000%+ again.$ADA— Dan Gambardello (@cryptorecruitr) January 1, 2023
As reported by U.Today, crypto trader Gareth Soloway believes the market might witness in the first month of 2023 what he calls a "January Effect Crypto Pop" before another decline sets in.
Three factors, according to blockchain analytics firm Santiment, may align in favor of ADA price action in the short to medium term. First, it observes that ADA was severely undervalued. Second is the exhaustion of sellers, as ADA touched lows of $0.23 in 2022. Third, shark and whale addresses that hold 100,000 to 10 million ADA continue to accumulate aggressively.
ADA whale, a Cardano community-focused Twitter account, predicts that the next bull market could get interesting. He also predicts inflows into its DeFi ecosystem, with his sights set on the TVL attaining $250 million to $500 million.