In a post on Are analysis relies heavily on Cardano’s fundamental strengths compared to its rivals, Ethereum (ETH) and Solana (SOL).
Why Cardano is Van Lagen’s best choice
Central to Van Lagen’s argument is the concept of decentralization, in which he posits Cardano as a model of ‘fundamental superiority’. He puts it: “Cardano stands out for its fundamental superiority over Ethereum and Solana, with greater decentralization and the notable absence of support from centralized entities like Gemini.”
This statement not only underlines Cardano’s commitment to decentralization, but also implicitly criticizes other blockchains’ dependence on centralized support, suggesting a purer adherence to blockchain’s original ethos by Cardano.
Van Lagen emphasizes the crucial importance of network reliability and points out the vulnerability of Solana, characterized by its “sporadic, unexplained network outages lasting a few hours.” He contrasts this with the inherent stability of the Cardano network, which he notes is “mathematically embedded in the Cardano ecosystem,” suggesting a foundation built on rigorous scientific principles and peer-reviewed research that underpins Cardano’s activities supports and increases the reliability and trust of the user.
Van Lagen’s enthusiasm extends to Cardano’s Extended Unspent Transaction Output (EUTXO) model, which he believes is a game-changer for blockchain scalability and efficiency. He explains: “In this bullish market, my preferred bet is Cardano, leveraging its EUTXO model to dramatically scale network capacity via TPT, not just TPS.”
This approach, which focuses on transactions per transaction (TPT) rather than just transactions per second (TPS), allows for more nuanced and complex handling of transactions, allowing for a large number of operations within a single transaction.
Roy M. Avila’s article, referenced by van Lagen, elaborates on the TPT concept and illustrates how it differs from the traditional account model by allowing a wide range of transactions to be processed simultaneously within a single transaction. This significantly reduces the need for sequential transaction processing, allowing for greater throughput and efficiency.
Technical analysis for ADA
Van Lagen shares his technical analysis of Cardano, identifying key patterns and indicators that reinforce his bullish stance. In late January, a post on Clear double bottom arrangement under red horizontal -> broken out, currently retesting. This pattern indicates a strong reversal and potential for significant upside.
He elaborates further on ADA’s price action, noting: “ADA [2W] – Compare Adam and Eve pants within ???? & ????. The price has broken through the blue neckline and is heading towards the key resistance zone before ATH: $1.2-1.8. Conservative Expansion Targets: $5-15. EW count invalidation: $0.17.”
These insights provide a detailed roadmap for ADA’s potential price trajectory, highlighting both its bullish outlook and critical thresholds for invalidation.
At the time of writing, ADA was trading at $0.5325.
Featured image from Shutterstock, chart from TradingView.com
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