Cardano [ADA]: As bearish sentiment rises, will these developments boost network
- Cardano’s development activity steadily increased over the last week.
- ADA plunged to its lowest value in six weeks as of this writing.
Cardano [ADA], like the rest of the crypto market, saw a significant correction as Bitcoin [BTC] fell to the $26,000 level. At $0.3653, the coin plunged to its lowest value in six weeks as of this writing, per Santiment’s data.
However, despite the market downturn, Cardano developers continued to put their effort into upgrading and polishing the network’s features. The development activity steadily increased over the last week. A rise in development activity augurs well for a blockchain’s adoption and subsequent growth.
Read Cardano’s [ADA] Price Prediction 2023-24
What’s boosting development activity?
Cardano published the latest edition of its weekly development report on 12 May, highlighting key technological developments, including the release of Cardano node v.8.0.0 and Lace version 1.1.0.
The core tech teams released node v.8.0.0, bringing new governance action to facilitate on-chain SPO polls, a fairness improvement in the mempool logic & new query commands.
Following the successful debut of the Lace Wallet last month, the Daedalus team has published version 1.1, which includes various enhancements and features to improve the user experience. Meanwhile, the team also continued working on the Lace desktop development.
— Input Output (@InputOutputHK) May 12, 2023
As part of the roadmap to improve Cardano’s scalability, the Mithril team geared up for the mainnet launch and started designing an on-chain decentralized signer registration process. The team also released a new 2318.0 distribution that implements the last migration phase of the aggregator stores and embeds the bug fix for the signer registration.
In a related development, Hydra Head, a layer-2 protocol designed to bolster Cardano’s scalability, went live on the mainnet, as per a tweet by Cardano developer Sebastian Nagel on 11 May.
Apart from this, Cardano creator Input Output Global (IOG), EMURGO and the Cardano Foundation announced the list of selected applicants to lead workshops aimed at discussing CIP-1694. A change to Cardano’s on-chain governance system is proposed in CIP 1694, which has Voltaire’s birth year as its name.
How much are 1,10,100 ADAs worth today?
Bearish sentiment lingers for ADA
The increased development activity and updates on important enhancements could not offset the negative sentiment caused by ADA’s price fall. A reason behind growing investor pessimism could be the rapidly falling MVRV Ratio. This implied that most investors were holding their tokens at a loss.
The daily active addresses witnessed an erratic trajectory over the last few days.