While the cryptocurrency industry has been extremely volatile this year, Arcane Research’s forecast for 2022 indicates that the sector will be much more volatile. According to the specialised crypto research and analytics organisation, XRP and Cardano (ADA) are anticipated to slide out of the top 10 crypto rankings in 2022.
This bold statement was made, among other places, in Arcane Research’s recently released crypto market report, The Weekly Update.
Both blockchain networks and their native coins are currently among the cryptocurrency industry’s most important participants. With a market capitalisation of about $47 billion, Cardano (ADA) is the sixth most valuable cryptocurrency.
The crypto asset, on the other hand, has seen better days, since it was the third most valuable cryptocurrency by market capitalisation until October, when it started to fall behind.
2022 Predictions for Cardano
Cardano’s (ADA) price has plummeted in recent months as the crypto market continues to fall. Thanks to numerous changes to its mainnet, the sixth-largest cryptocurrency by market capitalization has had a fantastic year.
Cardano first successfully moved to a Proof-of-Stake consensus in 2020, shortly after the D parameter reached “0,” indicating complete block production decentralisation. The network’s consensus model shifted from federated to community-based, with the latter controlling the bulk of stake pools that generate blocks on the network.
Developers and consumers are rushing in to construct and use the benefits of this ecosystem’s UTXO design, which has already experienced a surge of activity. In this regard, ADA Whale, a community member, gave his top forecasts for a new boom in the Cardano network’s underlying token.
According to ADA Whale, Cardano could see a surge in transaction volume and active addresses. According to the investor, these elements might increase by a factor of five, resulting in a massive wave of adoption in 2023.
Cardano is currently one of the most popular networks. Scaling can be done in two ways: gradually to keep up with growth or suddenly in 2023.
This renewed interest in the network may lead to the development of new projects. By the end of 2022, the network could include over 250 decentralised applications, DeFi platforms, launchpads, and other features, according to the investors. The investor continued, “
Cardano DeFi is still in its early stages, yet it has a market capitalisation of more than $10 billion every year. There are now certification levels in the Dapp Store. Due to its ease of use, many are replacing their banking stack with Cardano DeFi. Projects that bridge the gap between DeFi and the real world thrive. UTXO DeFi will be a one-of-a-kind and exceptional product.
In the Next Few Years, Cardano’s Potential
According to ADA Whale, Cardano has been utilised by enterprises and projects with a global impact and offers minimal costs, energy efficiency with a low carbon footprint, and has been used by organisations and initiatives with a global impact. Among them are World Mobile, Singularity, and others.
The ecosystem is embedded in various businesses thanks to the aforementioned alliances, which have strong linkages to governments in developing nations. Cardano will expand its collaborations in the coming years in order to provide consumers with a decentralised, open, and accessible network for managing and supporting a variety of critical services.
In the meanwhile, the network is attempting to develop interoperable features. ADA Whale discussed Milkomeda, a Cardano second layer solution with EVM compatibility. These kinds of solutions will help in a variety of ways.