- Cardano’s daily active addresses spiked recently, suggesting increased usage.
- Social volume too went up, but the number of ADA holders declined.
Several blockchains struggled to increase their network value, but Cardano [ADA], on the other hand, exceeded expectations.
Artemis’ data revealed that Cardano’s TVL has increased consistently over the last six months. According to the tweet, the seven-day moving average was $154 million, which was a level last seen in May 2022.
Over the last six months, $ADA TVL has consistently increased.
Currently, the seven-day moving average sits at $154m, a number that has not been seen since May 2022. pic.twitter.com/wkbYoAddQb
— Artemis 🏹 (@Artemis__xyz) May 3, 2023
Furthermore, Cardano’s TVL growth seemed to have accelerated further. DeFiLlama’s chart revealed that in the last 24 hours alone, ADA’s TVL increased by more than 9%.
Realistic or not, here’s ADA market cap in BTC‘s terms
Will Cardano reclaim its past glory?
Taking into account the current growth rate, is it viable to expect Cardano to once again touch its all-time high TVL of more than $400 million in 2023?
Let’s have a closer look at the Cardano network to better understand if the possibility is too ambitious. Input Output Global, on 2 May posted a tweet highlighting Cardano’s performance in April.
1/ The weekly development update is released every Friday on #EssentialCardano. This thread recaps the main highlights from the previous month.
Discover how many projects launched on #Cardano in April, the growth of native tokens, token policies, transactions, & scripts. pic.twitter.com/dW6xXXUw3r
— Input Output (@InputOutputHK) May 2, 2023
One of the key takeaways from the Twitter thread was Cardano’s scaling efforts. The blockchain’s Hydra team is responsible for it, and the team is now preparing for the 0.10.0 mainnet release.
As scalability is a prominent goal of Cardano, the new release could have a larger impact on the ecosystem, as a whole.
Apart from that, the Plutus team worked on new Plutus built-ins to support BLS12-381 curves. This functionality is expected to be available in Plutus v3. Therefore, considering Cardano’s growth on the development front, the possibility of ADA’s TVL uptick seems likely.
ADA’s key metrics were stable
Meanwhile, a look at Cardano’s key metrics suggested that the network’s health was good. For instance, as per Artemis, ADA’s daily active addresses spiked recently, suggesting increased network usage.
Additionally, Cardano had a staking market cap of $9,037,199,931 with a relatively stable number of ADA stakers.
Despite the positive factors, investors’ confidence in ADA has been affected lately, as evidenced by a decline in the number of token holders.
Nonetheless, ADA’s popularity among the whales was high, as can be seen from the consistent number of whale transaction counts.
Source: Santiment
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ADA’s popularity on the rise?
Santiment’s chart revealed that ADA’s social volume increased substantially over the last two months. The growth reflects the blockchain’s increased popularity, which looks encouraging in the long run.
ADA’s demand in the futures market was also high, as evident from its Binance funding rate.
Therefore, upon scrutiny of the network’s health, it seems much more likely that the blockchain will continue to increase its network value.
At press time, ADA had registered a price uptick of over 2% in the last 24 hours and was trading at $0.3931.
Source: Santiment
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