CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

Cardano’s (ADA) links to ETH will see it through a crypto winter

By Monte Stewart

Edited by Aaron Woolner

09:40, 16 June 2022

Winter in a spruce forest, spruces covered with white fluffy snow
Cardano’s (ADA) links to ETH will see it through a crypto winter - Photo: Shutterstock

Cardano (ADA) may be trading way short of its all-time high but the project's strong links to the Ethereum blockchain mean the altcoin's price is well placed to survive a crypto winter.

At the time of writing, cardano was trading just shy of 50 US cents, a long way from ADA’s all all time high of $3.10 in September 2021 but in line with the broader cryptocurrency market.

However, the involvement of one of ETH’s  founders Charles Hoskins in cardano should prove critical, according to one digital asset manager. 

Cardano to US dollar

Andrew Durgee, head of Republic Crypto, the asset management arm of Republic and its Republic Crypto Fund, suggested that cardano could benefit from its founder’s popularity.

“Cardano comes from [founder] Charles Hoskins, who’s one of the founders of ETH and [Cardano] is one of the chains that he’s really been focused on post-Ethereum,” Durgee said in an interview with 

“The original Ethereum founders, outside of Vitalik [Buterin], have really gone on to start to do their own things and start to move away from Ethereum. 

What is your sentiment on DOGE/USD?

Vote to see Traders sentiment!

Vasil hard fork

“So those particular individuals carry a lot of fanfare and interest.”

This point is particularly critical ahead of ADA’s long awaited blockchain network upgrade called the Vasil hard fork at the end of this month. 

But Durgee indicated that he expects cardano to depend on bitcoin for help getting through the crypto winter which, he added, differs from others because it is occurring in a bear market.


177.42 Price
-3.470% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 2.2652


0.14 Price
-4.450% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872


0.60 Price
-3.180% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168


3,479.59 Price
-0.330% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00

Ethereum to US dollar

“Most of the market has some form of parity to bitcoin, right?” he said. “It's gonna follow bitcoin pricing more so than anything else, and I'm of the opinion that bitcoin is here forever. 

“We are of the belief that bitcoin doesn't really need anything else to survive but everything needs bitcoin to survive. 

Doubtful of DOGE

"If bitcoin were to fail, the party's over. If some of the others were to fail, bitcoin will continue on. So with that thought process, I think it will be very difficult for the rest of the industry to decouple itself from bitcoin.”

Durgee suggested that Dogecoin (DOGE) will not be able to grow on its own merits.

Dogecoin itself seems more of a meme,” he said. “There’s not a lot of intrinsic value on it. It’s something that has an interest based on the crowd.”

DogeCoin to US dollar

Durgee’s positive take on cardano’s outlook was reflected in Thursday morning trading in Asia as the price surpassed $0.51. 

The coin soared 11% over a 24-hour period, outperforming bitcoin, which gained about 7% and ether (ETH), the coin backed by the Ethereum blockchain network, which rose about 6%, according to CoinMarketCap.

BNB and Dogecoin’s prices also continued to rise.

Markets in this article

Cardano / USD
0.42341 USD
-0.01146 -2.650%
Ethereum / USD
3479.59 USD
-11.35 -0.330%
DogeCoin / USD
0.1356207 USD
-0.006299 -4.450%
Binance Coin / USD
587.63 USD
-13.89 -2.330%
Bitcoin / USD
66624.35 USD
-1555 -2.280%

Rate this article

Related reading

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 630,000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading