While June saw a significant decline in the overall cryptocurrency market capitalization, Cardano (ADA) bulls might have reason to be optimistic about July. Historical price trends suggest a potential upswing for ADA this month.
Crypto Market Faces Turbulence
The first half of 2024 hasn’t been kind to cryptocurrencies. June ended with a market-wide slump, with the total value of all digital assets dropping over 8%, translating to nearly $200 billion lost. Predicting the future of the cryptocurrency market remains a challenge, but historical data can offer some valuable insights.
Cardano’s Positive Past in July
Looking specifically at Cardano, its native token ADA, historical trends compiled by CryptoRank show a bullish pattern for July. On average, investors have seen a 9% return on their ADA holdings in July over the past few years. Even the median return, at 2.93%, indicates positive growth.
This positive outlook is further bolstered by Cardano’s historical performance since 2018. In July of that year, ADA recorded a gain of almost 3%. Interestingly, July has only seen ADA close in the red twice previously.
Can History Be a Guide?
The cryptocurrency market is notoriously volatile, and past performance is not a guaranteed indicator of future results. However, historical trends can provide valuable context, especially as the data pool for Cardano grows with each passing month. This larger sample size allows for more accurate predictions based on historical behavior.
Current Price and Potential Future
At the time of writing (July 1st, 2024), ADA is trading around $0.40 per token. If the historical bullish trend holds true, Cardano could see its price climb to at least $0.44 by the end of July.
Conclusion
While the future of the cryptocurrency market remains uncertain, Cardano bulls may find solace in historical data suggesting potential growth for ADA in July. With a larger data pool and a history of positive performance in July, Cardano could be poised for an upswing this month. However, it’s crucial to remember that the cryptocurrency market is ever-changing, and investors should always conduct their own research before making any financial decisions.
