Is Cardano a Good Investment in 2024?

Gianluca Lombardi, 6 min read
Last Updated: 26 December, 2023

is cardano the best crypto to buy

Cardano (ADA) has generated a lot of excitement in the cryptocurrency space since its launch in 2017. With its robust technology and research-driven approach, many believe it has the potential to be best crypto investment in the coming years.

But does that mean Cardano is the best cryptocurrency to buy in 2024? In this article, we’ll dive into Cardano’s key features, development roadmap, expected growth and future outlook to determine if it really is the top crypto worth investing in for 2024 and beyond.

Overview of Cardano

First, let’s start with a quick overview of what Cardano is and what makes it unique:

  • Cardano is an open-source, decentralized public blockchain launched in 2017.
  • It was founded by Ethereum co-founder Charles Hoskinson and is supported by three separate organizations: the Cardano Foundation, IOHK and Emurgo.
  • The ADA token is the native cryptocurrency of the Cardano network.
  • Cardano uses a proof-of-stake consensus mechanism called Ouroboros which allows it to validate transactions and generate new blocks efficiently with relatively low energy consumption.
  • The network runs on the Ada programming language which was specifically designed for Cardano’s security and scalability needs.
  • A key feature of Cardano is its multi-layer architecture. This separates the settlement layer where ADA transactions occur, from the control layer that handles smart contracts and decentralized applications.
  • Significant research, testing and peer review has gone into the Cardano protocol under a science-based philosophy to ensure high security and dependability.

So in summary, Cardano aims to achieve the scalability and security of Bitcoin, the smart contract capabilities of Ethereum, and advanced features through meticulous research and development.

But how does this translate into real-world adoption and growth potential? Let’s analyze further.

Cardano’s Development Roadmap

A crucial aspect of Cardano’s future outlook is its multi-phase development roadmap. This provides a clear path of the improvements and capabilities still to come on the network.

Cardano’s roadmap consists of five total phases:

1. Byron Phase – Foundation of the Cardano protocol with basic wallet functionality & ADA transactions.

2. Shelley Phase – Decentralization of the network through proof-of-stake consensus and delegation. This was completed in 2020.

3. Goguen Phase – Integration of smart contracts allowing decentralized apps to be built on Cardano. The initial launch happened in 2021 but ongoing upgrades continue.

4. Basho Phase – Focuses on optimizing scalability and interoperability through features like sharding and sidechains. Expected in 2023.

5. Voltaire Phase – Governance improvements including advanced voting and treasury systems to be written into the protocol. Planned for 2024-2025.

As you can see, some major developments are still in progress. The Basho and Voltaire phases will enhance performance and governance in preparation for broader adoption.

Once smart contracts, scalability and governance are improved upon, Cardano is positioned to rival platforms like Ethereum and Solana in terms of utility and user activity. This forms the basis for bullish growth forecasts leading into 2024.

Cardano’s Competitive Advantages

Now that we’ve covered Cardano’s technology and roadmap, let’s discuss some of its unique advantages that make it stand out in the crowded crypto space:

  • Peer-Reviewed Cryptography – Cardano has its crypotgraphic protocols and security audited through rigorous peer review. This level of scrutiny is unmatched in other major blockchains.
  • Science-based Philosophy – A strong research-driven philosophy underpins all of Cardano’s development for stability and dependability rather than short-sighted growth.
  • Multi-layer Architecture – The separation of accounting and computations into different layers increases flexibility for future upgrades.
  • Proof-of-Stake – Its Ouroboros consensus algorithm enables staking rewards and scalability without high energy costs of proof-of-work.
  • Strong Team – IOHK’s engineering team is led by founder Charles Hoskinson and other proven crypto experts with four years of consistent project development.
  • Government Partnerships – Cardano is working with Georgia’s government on identification systems and Ethiopia’s government on supply chain applications. This demonstrates adoption potential.
  • Interoperability – As a 3rd generation blockchain, Cardano is designed for easy interoperability with other chains through sidechains which expands its use possibilities.

These advantages lead many analysts to believe Cardano can become the backbone of the new, decentralized internet and continue gaining market share. The technical foundations are clearly in place.

Competitors investing potential:

Cardano’s Recent Progress

We’ve covered the roadmap, but it’s also important to review Cardano’s execution and achievements over the past year:

  • Smart Contracts Launch – After years of research & planning, September 2021 marked the launch of smart contracts on the mainnet through the Alonzo hard fork combinator event. This allows developers to build decentralized apps and services on Cardano.
  • Project Catalyst – This goverance system lets ADA holders vote on community project proposals to receive funding directly from the Cardano treasury. Over $100 million has already been allocated through participatory voting.
  • Plutus Scripting Language – Plutus provides the tools for writing smart contracts on Cardano. There are now over 1,400 Plutus scripts deployed on the blockchain.
  • DEX & Defi Growth – Decentralized exchanges like SundaeSwap have launched on Cardano allowing trustless ADA trading. Lending and liquidity platforms like Liqwid Finance are also growing the defi ecosystem.
  • Staking Adoption – 71% of circulating ADA is now being staked on the network providing security and earning passive rewards. This demonstrates strong investor engagement.
  • NFT Launches – Following smart contract integration, NFT projects like Clay Nation and the Cardano Generative NFT marketplace have emerged for digital collectibles.

Cardano accomplished a lot in a short span in accordance with its scientific roadmap. These achievements are laying the infrastructure for realized adoption and commercial applications moving forward.

Cardano Price Forecasts for 2024

Now that we’ve reviewed Cardano’s capabilities and recent progress, let’s take a look at what some experts and analysts forecast for the future ADA price in 2024:

Forecast Source 2024 ADA Price Prediction
Finder $5+
CoinPriceForecast $4 – $5
AltcoinForecast $5 – $10
WalletInvestor $3 – $7

Note: These are provided as rough estimates not guaranteed figures

Based on the above forecasts which account for growth trends and on-chain activity, the consensus seems to be that Cardano could hit over $5 per ADA by 2024.

This represents nearly 500% growth from its current price!

With a current market cap of $10 billion, hitting these forecast levels would also put Cardano in the top 5 largest cryptocurrencies.

However, crypto markets are highly volatile. While these forecasts help set expectations, real-world use and adoption will ultimately determine Cardano’s price.

Is Cardano’s Growth Sustainable Long-Term?

For any cryptocurrency, it’s important to consider whether growth projections are realistic and sustainable long-term. Here are some positive factors for Cardano’s continued rise through 2024 and beyond:

  • As the roadmap phases complete, Cardano’s utility expands exponentially. This incentivizes staking, transactions and decentralized apps to build real value.
  • The input of researchers and rigorous peer review helps future-proof Cardano by avoiding design flaws that competitor blockchains failed to anticipate.
  • Once ecosystems like defi take hold, they tend to exhibit network effects – more transactions and users make the ecosystem even more valuable over time.
  • Cardano developers are taking proactive steps to comply with regulations and partner with governments for real-world adoption. This adds legitimacy.
  • The non-profit Cardano Foundation’s educational initiatives are bringing new developers into the ecosystem worldwide to drive future growth.

No cryptocurrency growth is guaranteed forever. But Cardano’s methodical and research-based approach make its development more sustainable compared to coins that rose quickly based on hype and viral trends. This improves the chances of prolonged growth as blockchain adoption increases globally.

Should You Buy Cardano for 2024 and Beyond?

Based on the complete fundamentals and growth forecasts we’ve now reviewed, here is the summary case for Cardano as a cryptocurrency investment:

  • The multi-phase roadmap lays out a long-term vision for scalability, adoption and governance that leads into the future.
  • Cardano has competitive technology advantages over early blockchains, while avoiding hurdles and congestion faced by Ethereum.
  • Development has been consistent and research-based. The network is maturing in preparation for true utility and next level growth.
  • Forecasts point to 500% or greater growth in ADA’s price based on increased adoption leading into 2024.
  • Cardano’s sustainable, community-driven ecosystem improves the odds of prolonged growth as cryptocurrencies gain mainstream traction.

Of course, smart investment also requires managing risks:

  • Regulatory uncertainty remains a factor for the broader crypto industry that could impact projects.
  • Competition is fierce from other leading smart contract networks like Solana that have a first-mover advantage.
  • As a newer network, Cardano has not yet faced real-world scaling challenges at full capacity.

Overall, if Cardano continues executing well on its roadmap priorities, it has incredibly strong prospects to be a top cryptocurrency for long-term investing. The project shows a lot of maturity and patience that will likely pay off handsomely.

Based on all the factors discussed, investing in Cardano seems to have significant upside potential leading into 2024 and beyond. Just remember to evaluate your own risk tolerance and invest responsibly for the long haul.

Conclusion

This has been a comprehensive look at Cardano’s merits as a leading cryptocurrency to buy and hold for 2024 and the coming years ahead. While there are never guarantees, the project shows a lot of promise to achieve mainstream adoption and outstanding growth relative to the overall crypto market.

Gianluca Lombardi

Gianluca is the editor-in-chief of this site. A finance graduate, he is an active trader who has tested all trading platforms and knows all their secrets. Technology is his passion; he spends much of his free time in the metaverse. Gianluca loves learning new things, researching, discussing and writing about technology, especially when it comes to cryptocurrency and blockchain technology.