- The Cardano network has suffered low on-chain activities compared to its peers, offering smart contracts and web3 functionalities.
- Cardano’s (ADA) price must rebound from the current support level of about 37 cents to avoid further capitulation in the coming weeks.
Cardano (ADA) co-founder Charles Hoskinson has applauded the development team for ensuring a sustainable future amid the ongoing mainstream adoption of Web3 protocols and digital assets. In a recent X post, Hoskinson indicated that the Cardano network is waking up, led by the Sundae DEX protocol.Â
Notably, the Sundae v3 protocol announced that it had processed around 9,264 orders in the past 24 hours leading to Sunday, thus indicating heightened adoption. According to market data provided by Defillama, SundaeSwap v3 had a total value locked of about $8.79 million, more than double its v2 upgrade.
And remember that so much amazing tech is coming over the next few years. Cardano is waking up https://t.co/pdXvZ8RCUN
— Charles Hoskinson (@IOHK_Charles) June 23, 2024
Cardano Network and Web3 Development Activity
Since the Alonzo Hard Fork in 2021, the Cardano network has registered notable Web3 development, thus increasing on-chain activity. For instance, Cardano’s core developers have been working on Ouroboros, a secure proof-of-stake protocol based on peer-reviewed research meant to facilitate the creation of distributed and permissionless networks.
However, the Cardano network has faced immense criticism for its slow development plan compared to its peers led by Solana (SOL), Toncoin (TON), Tron (TRX), and BSC, among others. As Crypto Key News previously pointed out, the Cardano network is on the cusp of major upgrades ahead that will enable seamless adoption of its smart contracts and web3 development plans.
Regulatory Hurdles Ahead
The Cardano ecosystem has enjoyed a notable relief since the US SEC announced that it had dropped all the investigations against Ethereum (ETH), the top web3 and smart contract layer. Furthermore, the Cardano network has undergone significant developments in the past years to achieve enhanced decentralization.Â
After undergoing the four stages of roadmap development, the Cardano network is currently in the last phases, dubbed Basho for scaling and Voltaire for governance. As Crypto Key News recently reported, the Cardano community actively engages in governance issues to ensure enhanced decentralization.
ADA Price Outlook
Amid the ongoing crypto industry correction triggered by Bitcoin’s drop below $62k on Monday, Cardano’s price has slipped around 3 percent in the past 24 hours to trade around 37 cents on Monday, June 24, 2024. As a result, the large-cap altcoin, with a fully diluted valuation of about $16.7 billion and a 24-hour average traded volume of around $289 million, has dropped over 16% in the past two weeks.
From a technical standpoint, the ADA price against the US dollar has been forming a macro mega-phone consolidation and is currently retesting the lower resistance level. After dropping over 50 percent in the past four months, ADA’s price is well positioned for a rebound, possibly beyond $1.
However, a consistent close below 35 cents could trigger further sell-off for ADA price ahead, which could take longer to recover. Ultimately, the midterm Cardano price action will be determined by the Bitcoin and Ethereum price action, which are heavily controlled by institutional investors and have a higher correlation with the stock markets.
