How Does ADA’s Supply Cap Influence Its Price?
ADA has a maximum supply of 45 billion coins, making it a deflationary asset over time. Unlike fiat currencies that can be printed indefinitely, Cardano’s fixed supply creates scarcity, which can drive up value as demand increases. Once all ADA coins are in circulation, scarcity may lead to higher prices if adoption continues to grow. Investors who understand supply dynamics often consider long-term holding strategies based on ADA’s limited issuance. Keeping an eye on the ADA price helps track how scarcity impacts market valuation.