The year 2018 has been tough for crypto, and Cardano (ADA) hasn’t been an exception. However, the latest market crash has hit Cardano even harder. Cardano has dropped to lows of 3 cents and has now dropped out of the top 10. This may seem scary to a potential investor looking to invest in Cardano (ADA). But should it really be a source of concern? Is Cardano still a worthy crypto to invest in, and hold? Well, the answer to these questions is, yes. Cardano is still a crypto worth holding for the long-haul, and there are solid reasons for this assertion.
First, the drop in market cap rankings has no bearing on Cardano’s true value. That’s because the entire crypto market has dropped so much this year, and the market cap difference between cryptos is very thin at this point. For instance, at the time of writing, the market cap gap between Monero (XMR), the 10th ranking crypto, and Cardano now 11th is negligible.
Monero now has a market cap of $1,006,791,848, while Cardano (ADA)’s stands at $995,850,357. That’s a gap of slightly over a million dollars, and quite insignificant in the grand scheme of things. The same goes for the market cap difference between Cardano and most of the cryptos in the top 7. As such, in a low volumes environment like this one, these up and down realignments in rankings will continue.
Cardano (ADA) could easily shoot up to the top 5, then back to 11th and so forth. Market cap ranking is not a reliable indicator of how good a crypto is at this point. It simply indicates where money is flowing to, with the expectation of short-term gain. For instance, Iconomi shot into the top 20 a few days ago, but it’s no longer anywhere close to it.
Over and above market cap ranking, Cardano is a solid project with actual developments going on. The IOHK team is moving quite well in the technical development of Cardano as per the roadmap. Any time, there are delays, as is normal with all tech-related projects, the IOHK team always gives a credible explanation for the same. For instance, Shelley has been delayed to 2019, but they did offer an explanation for it.
The moment it is actualized in Q1 of 2019, it will decentralize Cardano, and this will play a role in drawing in investors who are sitting on the sidelines, waiting for Cardano to become a fully decentralized blockchain. This will also play a role in drawing in more developers to the Cardano blockchain. The other arms involved in Cardano, such as Emurgo, are also making major moves to drive Cardano forward. For instance, the Emurgo team has a partnership with SOSV, to help facilitate Dapps on Cardano the blockchain. This is a plus to the intrinsic value to the Cardano blockchain.
In essence, the current market cap fluctuations aside, Cardano (ADA)’s fundamentals are only getting stronger. This could see the value of Cardano (ADA) rise significantly once the bear run comes to an end. It could perform way better than it did in 2017 when it hadn’t achieved half of what it has achieved now.