Cardano is an open source blockchain as well as a platform for executing smart contracts and issuing its own digital currency, ada. Cardano was founded in 2015 by Ethereum co-founder Charles Hoskinson. But what else do we know about this crypto, and also, what does its graph do, for those interested in investing in it.
Introduction to Cardano
Cardano is a decentralized blockchain platform and cryptocurrency that was created to provide a more secure and sustainable infrastructure for the development of decentralized applications and smart contracts. It was founded by Charles Hoskinson, one of the co-founders of Ethereum, and is named after Gerolamo Cardano, an Italian mathematician, physician, and astrologer from the 16th century.
Origins and Development
The idea behind Cardano was first conceived in 2015 when Charles Hoskinson and his team began researching and developing a new blockchain platform that could address some of the limitations and challenges faced by existing cryptocurrencies like Bitcoin and Ethereum. They aimed to create a more scalable, interoperable, and sustainable blockchain ecosystem.
Cardano’s development was driven by peer-reviewed academic research and scientific philosophy. The Cardano Foundation, Input Output Hong Kong (IOHK), and Emurgo were the three main organizations responsible for its development and promotion.
The Cardano Blockchain
Cardano’s blockchain is based on a unique proof-of-stake (PoS) consensus algorithm called Ouroboros. This PoS mechanism is designed to be more energy-efficient compared to the traditional proof-of-work (PoW) used by Bitcoin. It allows stakeholders (ADA token holders) to participate in the block generation and validation process, securing the network and earning rewards for their contribution.
The ADA Cryptocurrency
The native cryptocurrency of the Cardano platform is ADA. It is used for various purposes within the ecosystem, such as transaction fees, staking, and participating in the governance of the network. ADA can be traded on various cryptocurrency exchanges, and its value fluctuates based on market demand and other factors.
Cardano’s Key Features
Layered Architecture: Cardano employs a layered architecture separating the settlement layer from the computation layer. This design improves flexibility and scalability while allowing for easy protocol upgrades.
Peer-Reviewed Research: As part of its scientific philosophy, Cardano’s development is heavily influenced by peer-reviewed research papers. This approach aims to ensure that the platform’s features and protocols are robust, secure, and thoroughly tested.
Governance and Treasury System: Cardano incorporates a decentralized governance system, allowing ADA holders to participate in decision-making and propose changes to the protocol. It also includes a treasury system where a portion of transaction fees is allocated to fund development and other initiatives.
ADA, the chart for long term
How interesting to analyze the past to observe the possible future, in a cryptocurrency.
In the long-term graph that I show, you can see 2 crypto winters, which means long-term bearish movements, after the great increases that bitcoin has after its halving (halving of its mined block reward, which is mined more or less, every ten minutes constantly and without interruption).
Going back to cardano (ADA), after a double fall in crypto winter (it was carried out in two phases), the price began a great upward movement, accompanying bitcoin in its crypto spring and crypto summer.
His review was spectacular.
We also observe the last low of crypto winter, which begins at the end of 2021 and ends for ADA, a few months ago, in this 2023, with support in support, on the bearish resistance guideline that can be seen in the graph. The interesting thing to observe is that we can also visualize a double minimum area, as if it were an inverted M, or also called W, which is one of the upward turning patterns that charts usually perform, to stop falling.
In other words: It seems to be making a zone of great accumulation for its new upward movement, future… or so it seems…
ADA, the chart for short term
In the short term, we can see how ADA is making a very interesting large accumulation floor. His future goals look very good. But also, short-term or ultra-short-term operations can be carried out. Here appears my last trade, still open in ADA, since in addition to doing passive management in cryptocurrencies, I also did active management in depending on which cryptos. ADA, is one of them where I usually do it on a regular basis. It is not a purchase recommendation, it is informative of both possibilities, they are also possible in this new world, the world of blockchain.
Reminder, DYOR and good luck in your investment decisions. And have a good Thursday everyone!!!