The Daily Breakdown takes a closer look at Cardano and Chainlink, while taking an even deeper dive into the charts for ADA.
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Crypto Corner
We’re continuing our talk about the ins and outs of the crypto market, helping investors to get more familiar with the 100+ cryptoassets offered by eToro. Many of these names may be familiar to investors today, where we’ll discuss Cardano and Chainlink.
Cardano (ADA): Currently trading near $0.93 with a market cap of roughly $33.3 billion
Cardano was founded in 2015, launched in 2017, and utilizes a unique consensus mechanism called Ouroboros, a proof-of-stake protocol designed to be energy-efficient and secure.
Used for transaction fees, staking, and governance within the network, it undergoes continuous upgrades through a structured roadmap. Cardano is an open-source project, meaning anyone can review and contribute to its codebase.
ADA holders can stake their tokens to participate in network governance and earn rewards, making Cardano a community-driven platform.
Chainlink (LINK): Currently trading near $24.50 with a market cap of roughly $16.6 billion
Chainlink went live in 2019 and was designed to serve as a bridge between smart contracts that are on the blockchain and businesses and data that are off-chain. It operates with an open-source protocol where users are paid LINK for providing off-chain data to the network, formatting data into blockchain formats, and completing off-chain computations.
One party will submit a request specifying the data it needs, submit LINK into a smart contract, and then other parties — “oracles” — will submit bids for how much they will accept as payment for completing the project. The network will match parties and the winning oracle will collect and submit the requested data through the network.
Large team of academic professors and researchers are part of the Chainlink community and Chainlink has secured billions of dollars worth of smart contracts.
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The Setup — Cardano
Shares of Cardano caught fire in late 2024, running from around 30 cents to $1.30. The rally was met by a wide and volatile consolidation phase, with shares eventually fading below $1 and finding support near $0.50.
Now bulls are keeping a close eye on the $1 level. If ADA can clear this level, perhaps it could gain further momentum and potentially retest its 2025 and 2024 highs. However, if $1 is resistance, bullish momentum could wane.
Disclaimer:
Please note that due to market volatility, some of the prices may have already been reached and scenarios played out.
