Decentralized finance (DeFi) project Cardano (ADA) has seen an uptick in whale activity that has surged at least tenfold. Indeed, the increase in whale activity can potentially influence ADA’s price trajectory.
In this context, ChatGPT-4o, OpenAI’s advanced and recent artificial intelligence (AI) chatbot model, has offered insights into how ADA is likely to trade by the end of 2024. The chatbot is more accurate, faster, and cost-effective than other models.
The tool provided both conservative and optimistic price estimates. ChatGPT-4o suggested that if the general crypto market experiences steady but moderate growth, the ADA price could range between $1 and $2 by the end of 2024.
ADA price prediction for the end of 2024. Source: ChatGPT-4o
Factors influencing ADA’s price
ChatGPT-4o also highlighted several factors likely to impact ADA’s price. The tool acknowledged that increased holdings by whales suggest strong confidence in ADA. This scenario potentially indicates a bullish outlook due to higher demand from large investors.
At the same time, positive developments, such as institutional adoptions or technological advancements within Cardano, could drive prices higher, while negative news could have the opposite effect.
According to the tool, continued network development, enhanced smart contract capabilities, and achieving key milestones will likely positively influence ADA’s value. Notably, recent data from Cardano developer IOHK, released on May 17, reveals ongoing growth in several metrics. The number of smart contracts on the network has reached 46,060, with 171 projects launched.
Cardano network statistics. Source: IOHK
The AI model also noted that ADA investors should be on the lookout for regulatory changes, broader economic conditions, such as global stability, interest rates, and market liquidity.
ADA price analysis
Currently, ADA continues to trade below the $0.50 resistance zone, and reaching the $1 level would be significant for the asset’s growth. Notably, whales have aggressively accumulated ADA tokens at this level.
Beyond the factors highlighted by the AI tool, Cardano will likely benefit from increased exposure. For instance, reports suggest that crypto exchange Gemini might be planning to list ADA.
At the time of reporting, ADA was trading at $0.47, having faced a short-term correction of 1.51% in 24 hours. However, the token remains bullish on the weekly timeframe, having rallied over 6%.
ADA seven-day price chart. Source: Finbold
Overall, ADA bulls have significant work ahead to move the token away from the consolidation below $1.
Disclaimer:The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
