Ethereum pioneered and extended Bitcoin’s functionalities through the automation of contracts. Much has been said about competing platforms and Cardano price.
However, what sets Cardano apart is the team’s dedication to research and quality. As a project that is described as an “Ethereum killer”, much is expected.
Going forward, talks of scalability—assuming the journey to Voltaire will be smooth and on time, may pump Cardano price. At the moment though, investors are focused on Shelly and whether it will smoothly sail and launch.
The Shelly mainnet ushers a period of decentralization in Cardano.
As a Proof-of-Stake network complete with a Sidechains whitepaper—the first of its kind, decentralization may prove to be a technical challenge.
Nonetheless, Charles Hoskinson is oozing with confidence. He has a decentralization strategy and hopes to draw node operators from across the globe. These users would then delegate their coins and stake on Cardano-approved stake pools.
Once complete, Cardano will be 1,000X more decentralized than Bitcoin as validators would be spread out across all continents.
Preparations for Shelly mainnet
Towards the Shelly mainnet hard fork, a detailed rollout plan has been released. In 11 steps–from late May 2020, Cardano will prepare for the eventual shift.
The first four steps are complete following the release of the public Haskell Shelley test network on June 16, 2020.
Today marks the start of our public #Shelley testnet, a hugely important milestone on our shared journey to Shelley mainnet. From right now, any operator who wants to run a @Cardano pool can start getting ready for mainnet staking & delegation later this summer #ShelleyTestnets pic.twitter.com/0NdTxXyMqL
— Input Output (@InputOutputHK) June 9, 2020
The Combinator hard fork will be completed on June 23, 2020, ahead of the Shelly client set for June 30, 2020, provided the preceding split is successful.
We've just released our first version of Daedalus for the Shelley testnet. This first version is available just for stake pool operators for early functional testing (via GitHub download). Here's the lowdown https://t.co/tFeOZTw9hP pic.twitter.com/jPcZiaRkvA
— Input Output (@InputOutputHK) June 16, 2020
On July 29, 2020, the Shelly mainnet will be launched and rewards from the Shelley Incentivized TestNet disbursed on August 3, 2020.
— Input Output (@InputOutputHK) June 17, 2020
Cardano price analysis
Cardano’s native coin, ADA, is one of the top performers in the last trading month. Up 42 percent against the USD, and outperforming BTC—up 48 percent, the trend is bullish.
Still, there are doubts about the strength of bulls after an impressive uptick of the Cardano price. In the daily chart, prices are stuck in consolidation. On the upside, ADA is capped at June 2020 highs of around 9.2 cents.
Meanwhile, bears are limited by the main support trend line, the middle BB—the 20-day moving average (MA), and the immediate support at 7.1 cents.
Constricted within a triangle, any break above the resistance trend line and June 11, 2020 highs could see ADA rise to 9.2 cents in a bullish continuation pattern.
Nonetheless, associated trading volumes are fizzling out. In the past trading week, average trading volumes were lower than June 11, 2020’s bear bar. As such, from an effort versus result perspective fanned more by bulls’ inability to close above the current consolidation, Cardano price may crater in a correction.
Immediate bear targets will be 7.1 cents and 6 cents.
Disclaimer: This is not investment advice. Opinions expressed here are those of the author and not the view of the publication.