The Cardano price experienced a 2.5% drop in the past 24 hours, falling to $0.364249 as the market saw a 0.5% decrease. Despite the recent downtrend, ADA has registered a 1.5% gain in the past week and a 47% increase since the beginning of the year, although it encountered a 5.5% loss in the last 30 days.
An essential aspect of Cardano’s growth is its total value locked in, which now amounts to $170 million. This figure shows a nearly 300% increase since January 1 and indicates the steady advances enjoyed by the platform over the past few months. Although Cardano might not grab headlines like other altcoins (and meme tokens), its gradual evolution strengthens the potential for future gains.
ADA’s chart also indicates a possible rebound shortly, with its technical indicators all in oversold positions. The coin’s relative strength index (purple) hovered around 30 in the past few days but has recently started to rise, signaling an influx of momentum. Meanwhile, the 30-day moving average (yellow) is about to fall below the 200-day (blue), which, once it occurs, could prompt the altcoin to rise again. Importantly, ADA’s support level (green) remains steadfastly above $0.3622 – a critical price level around which it has consolidated.
The increase in Cardano’s total value locked in reflects the platform’s active ecosystem and the rise in network adoption. DefiLlama ranks Cardano as the 17th-largest layer-one platform, an impressive leap from being outside the top 20 in February. It currently boasts over 81,000 active users, a stark contrast to Ethereum’s 350,000 users. The platform supports 127 protocols and has over 1,242 projects under development, highlighting the significant growth experienced in the past year.
Cardano’s recent Hydra update, which introduced layer-two sidechains to the platform, enhances scalability and efficiency. This improvement could potentially boost Cardano’s total value locked in even more and, by extension, increase ADA’s price. Further developments like the Mithril upgrade and the upcoming introduction of pooled lending via Aada, a decentralized lending platform built on Cardano, could trigger increased interest in Cardano’s DeFi ecosystem.
In addition, already-existing apps such as Minswap, Wingriders, and SundaeSwap could help catapult Cardano as a strong rival against larger layer-one platforms. If this materializes, ADA’s price could rise back to $0.4 or $0.5 levels. And with the potential for a full market-wide recovery by the end of
Source: Cryptonews
