Cardano is a smart blockchain founded by Charles Hoskinson – one of Ethereum’s co-founders, with ADA as its native crypto used for transactions. This project stands out from the rest in the market through its slow, research-driven approach to development. All upgrades to the blockchain go through a rigorous peer-review process that the project’s development team conducts, involving internal software engineers as well as external university partners. This method may slow development, but it ensures there is evidence-based research to back up all the changes, and as supporters believe, it prioritizes error-checking and accountability, which can help Cardano deliver fast transaction speeds, low fees, and environmental sustainability.

Cardano has experienced considerable growth over the last few years, and investors are still interested in ada price prediction for this year and beyond. If you’re wondering whether Cardano is a good buy in 2025, you’re in the right place, as in this blog, we explore the potential of this crypto project and its pros and cons to help you make an informed decision. Read on!

A look at the historical price performance of Cardano

Since its introduction in 2017, Cardano has seen massive price volatility, with its value increasing during bull markets. In 2021, it reached an all-time high, with ADA peaking at $3.10 and making it the third-largest crypto by market cap, following Bitcoin and Ethereum.

During that time of glory, Cardano was seen as the leading Ethereum killer, as Ethereum had challenges due to its high fees and hadn’t switched to a Proof of Stake model yet. But in the following years, competing blockchains like Solana exceeded Cardano in user growth. Still, today, Cardano is one of the top ten cryptos by market cap, so it’s a good idea to keep an eye on its performance.

Will the price of Cardano explode in 2025?

Analysts believe that Cardano isn’t likely to achieve a new price record; however, they predict an overall positive year for the digital asset, with its price reaching €2.10 by mid-year. Despite the lack of record-breaking performance, Cardano could still experience solid growth. Its performance, however, is tied to whether it can successfully expand its smart contract ecosystem and attract more users to its dApps. Ultimately, the value of blockchains such as Cardano will increase as more users and projects join the network. While the project has lagged behind its industry competitors, there is still a lot of optimism that developers will find Cardano appealing due to its unique and research-driven approach.

Exploring the pros and cons of investing in Cardano

As with any other cryptocurrency, there are pros and cons of investing in Cardano. Some of its pros include:

• Energy-efficient. Since Cardano operates with a Proof of Stake model, it is continuously praised for its environmental sustainability.
• Capped supply. Just like Bitcoin, Cardano has a fixed supply, which creates scarcity for the token, potentially fueling price increases over time.
• Research-driven development. Every upgrade on the Cardano blockchain first undergoes peer-reviewed research, which helps ensure low fees, fast speeds, and a scientifically grounded blockchain structure.
• Ongoing development. Cardano is always improving, and by 2030, it aims to support billions of users by lowering barriers to entry while maintaining affordability, decentralization, and security. The integration of advanced scaling solutions will allow for high transaction volumes and help achieve scalability goals through different technologies like Layer 2 Hyra state channels, Layer 2 rollups, and Data API services, to name just a few.
• Partnerships. Cardano collaborates with major financial players, such as the Japan Bank for International Cooperation and the European Investment Bank.

Despite these exciting advantages that Cardano offers, it also presents some downsides, such as:

• Market volatility. All cryptocurrencies experience market volatility, and Cardano is no exception. For this reason, it’s essential to conduct your due diligence before buying it, as it can be particularly risky, especially if you’re looking for short-term gains.
• Lagging behind competitors. Although Cardano has a strong foundation, it has struggled over time to keep pace with faster-developing ecosystems such as Solana and Ethereum. Many Cardano critics believe that these blockchains are more appealing to users as they innovate faster.
• Slow development process. Due to Cardano’s peer-review approach to development, the development of key features is slower. While the project was launched in 2017, it only released its smart contracts in 2021, and by that time, Solana and Ethereum had already developed their NFT and DeFi ecosystems.

So, is Cardano a good investment?

If you can handle the volatility, Cardano could be a good investment for you. As a blockchain platform, it has a lot of potential, and one particular feature that makes it stand out from other crypto projects is that it’s eco-friendly. Furthermore, Cardano has different kinds of applications, and you can even stake it to earn more ADA tokens, which is an extra benefit if you buy it.

However, if you decide to invest, you need to remember that Cardano has run into performance issues throughout the time, including heavy congestion back at the beginning of 2022. While a long-term approach is always recommended when investing in cryptocurrencies, it is particularly important with Cardano, as it takes a slow-and-steady approach, so it’s essential to give it time to develop. Although it operates differently compared to other crypto projects, Cardano is still volatile, and its price can go through major changes in a short period, so if you choose to invest in it, remember that long-term changes matter more than weekly swings. Having a well-rounded strategy and cultivating discipline is ultimately key when looking to earn a profit with Cardano.

The bottom line

Cardano is a cryptocurrency with potential, especially due to its capped supply, energy efficiency, and research-based development. Furthermore, it has been in the top ten cryptocurrencies since its launch, showcasing its appeal among investors. However, it’s essential to consider factors such as volatility and slow development before buying it. Doing your research and understanding all about Cardano will help you decide whether it’s a good addition to your crypto portfolio or not.