An Artificial Intelligence model predicts that the price of Cardano (ADA) can increase six times. This artificial intelligence model is formed using time series and deep learning.
The model, which has been relatively successful in predicting ADA prices, indicates that there will be a price appreciation towards around $ 2.96 in September 2022.
The Model Predicts ADA Up 6 Times
The model formed by Neural Prophet, a data analysis company that uses mixed data processing mechanisms, predicts that ADA will experience a high price appreciation.
The company predicts that the price of ADA will increase to $2.96.
The model is called the PyTorch model, which combines Time Series and Deep Learning to create a Machine Learning framework for predicting the price of an asset.
According to this model, ADA will increase to $ 2.96 in September 2022 before falling back to $ 1.13 at the end of 2022.,
Even though the movement is relatively far away, this figure can bring benefits considering the current price of ADA is only around $ 0.48.
Since 2021, this prediction model has been relatively correct in making price forecasts for ADA, as shown in the image above.
The model is depicted in the orange line, while the original ADA price is shown in the blue line.
It can be seen that the difference is not too far, but there are still distortions or errors in the price prediction.
The error was seen mainly in April 2022 and June 2022, where according to the model, the ADA price should have moved up but turned out to be moving down.
Unfortunately, the prediction error came because of the many negative sentiments that came suddenly, such as the destruction of several crypto projects and companies that had a systemic effect or had an impact on other projects and companies.
Prediction errors were also made by macroeconomic factors that rocked the crypto market, such as monetary policy, inflation, and rising commodity prices due to significant state conflicts.
From these conditions, it can be seen that this model can respond less to unique situations even though it has used a sophisticated Machine Learning framework.
Please note that until now, the model still uses the nature of price movements and data are taken from 2017.
So considering the many things that have just happened in 2022 and have not occurred in 2017, it is worth remembering that this model also can be wrong, especially looking at relatively too optimistic price predictions.
Still Influenced by Vasil Hard Fork
Looking at this price prediction, the sentiment that will affect it is a positive sentiment, namely the launch of Vasil Hard Fork.
The rumoured Vasil Hard Fork will be pushed back to the end of July 2022, making the Cardano blockchain faster and cheaper.
Such conditions can invite more users for transactions and to build their decentralized application projects.
However, the price prediction that will reach around $ 2.96 still looks too optimistic because most ADA analysts and investors predict a much lower target.
Looking at the tweets from Twitter and the opinion of most investors from CoinMarketCap compiled by CryptoGlobe, most investors predict that ADA will only rise to $ 0.80.
Most investors predict ADA will rise to that price by August 2022, not far from the launch of Vasil Hard Fork, if not delayed further.
In addition, most investors also predict that by the end of 2022, the price of ADA will drop to $ 0.47, not far from its current price.
So it can be seen that Neural Prophet’s model predictions are still relatively far away, even from market estimates.
The good news is that Cardano is still moving to protect the price appreciation with the development of the network that is running well.
With the pilot implementation of four new update proposals, the sentiment towards the Cardano blockchain is currently positive.
In addition, data shows that developer activity on Github related to projects on Cardano is increasing.
This increase beats the activity figures on Ethereum and Solana, indicating that developers at Cardano are actively building.
Finally, institutional investors are also continuing a lot of funds going into Ethereum (ETH) and Short BTC-based products or assets that profit if the Bitcoin price drops.
So, for now, ADA is still moving positively. However, for the target price, there is still no possibility that the price will increase according to the Neural Prophet’s prediction model.
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