Lark Davis is a cryptocurrency market expert and analyst. Speaking on the matter of Cardano blockchain native token ADA, he commented that the token is poised to regain its lost strength shortly. It is worth mentioning that ADA token has recently experienced a massive price correction. During the last few weeks, the token plummeted by more than 45% from its nearest ATH.
During September, Cardano blockchain successfully integrated smart contracts on its blockchain, and it was able to gain a massive price momentum shortly afterwards. With Alonzo hardfork, Cardano became the fourth largest cryptocurrency on the global leaderboard with a market cap of $75 billion. Furthermore, the per-unit price of ADA reached $3 for the first time and overtook the Binance token.
The independent crypto market analyst Lark Davis recently claimed that ADA has a reasonable chance to gain some of its lost market value. He attributed the future gains for ADA with the emergence of the new DeFi projects like SundaeSwap and Ardana exchanges.
Davis believes that with the addition of these new projects, the number of developers and investors is going to increase the demand for ADA tokens. On the other hand, with the arrival of smart contracts capability, Cardano blockchain has invited developers to base their dApps and NFT projects on the blockchain. Patrick Tobler is a known NFT enthusiast who pointed out that Cardano blockchain is already hosting 400K NFTs on NFT-MAKER.
The Securities and Exchange Commission of the United States has recently passed a law that all the exchanges need to declare the tokens that can be classified as securities. Due to the regulatory changes, eToro exchange has decided to delist the ADA and TRX tokens for the American crypto traders. The eToro management has explained that ADA is not a commodity, and it has also revoked the staking prizes for the US investors.
The recent technical analysis for ADA based on indicators like RSI, MACD, and daily trading volumes has presented a possibility for the token to break into a bullish divergence. However, there is also a small probability for the token to plunge further into the bearish alley.
