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In a recent video from the crypto-based YouTube channel Cheeky Crypto, the host underscores Cardano’s (ADA) approach, which separates it from its contenders, particularly its reliance on “academic rigor” and “research-driven development.”
Dropping out his reasons for being bullish on Cardano, the host highlighted the blockchain’s core use cases; starting in the video, the host defined Cardano as a proof-of-stake (PoS) blockchain platform developed using a “methodical, evidence-driven approach,” firmly anchored in the principles of “scientific research and academic thought.”
According to the host, the Cardano development team aims to “restore trust in the global economic system.” This involves creating technologies that “foster secure, transparent, and sustainable international business practices.”
Cardano To Become A Frontrunner
Diving deeper into the video, the Cheeky Crypto host disclosed that aside from advanced technology, the platform is also about making a “real-world impact,” especially in developing regions.
According to the host, the platform has initiated projects to provide financial services to the world’s “unbanked population,” which is estimated to be about $1.7 billion people. Cardano’s partnership with World Mobile in Africa is an example of such highlighting. The host noted:
They (Cardano) are working with projects like World mobile to connect more people to the world as well as in my opinion create new economies and change many people’s lives.
The Cheeky Crypto host also points out Cardano’s contribution to the decentralized applications (DApps) sector. With a keen “focus on security and scalability,” Cardano is creating a more stable environment for DApps., the host stated.
Discussing the blockchain’s functionality, the host identifies it as a “third-generation cryptocurrency,” addressing common challenges faced by “layer one blockchain adoption.” Pointing out these challenges, the host disclosed:
This issue covers a number of blockchain concerns including topics like scalability, interoperability, sustainability and security. So Cardano seeks to basically solve these issues through the development of design principles and engineering best practices.
Concluding the use cases the host highlighted that make him bullish on Cardano, he mentioned that initially, the blockchain could process only a limited number of transactions per second. The team developed Hydra, a layer-two scaling solution employing state channels for off-chain transaction processing to overcome this.
Hydra’s introduction marks a notable leap, enabling Cardano to theoretically handle over a million transactions per second, enhancing the network’s capacity dramatically. According to the host, these use cases are why Cardano could be one of the “front runners” in the crypto sector in the future.
Cardano’s ADA Navigates Bearish Waters
Meanwhile, despite these technological strides, ADA, Cardano’s native token, has been experiencing a bearish price action. Currently trading at $0.460, ADA has lost nearly 10% of its value over the past week. Analyst Ali has recently drawn parallels between ADA’s current consolidation phase and its pattern in late 2020.
According to Ali’s analysis, should Cardano follow its late 2020 trajectory, ADA could witness a substantial upswing, potentially reaching new highs.
#Cardano‘s current consolidation phase mirrors its late 2020 behavior. If history repeats itself, we might see $ADA resuming its upward trend around April. This pattern continuation could potentially lead to an upswing toward $0.80, a brief correction to $0.60, then $7! pic.twitter.com/RuRA2EDMNP
— Ali (@ali_charts) January 19, 2024
Featured image from Unsplash, Chart from TradingView