The sixth-largest cryptocurrency by market capitalization is preparing itself for the second biggest update in its history after the Alonzo hard fork. After the anticipated update Cardano could see significant developments on the network. But even prior to the release, investors/traders are placing their bets on Cardano [ADA].
Good things happen
Cardano continues to build out its network for a better experience for its users. Charles Hoskinson teased that some amazing things will be coming out soon. Mainly, it is around the Input Endorsers which have been in development for a while.
Just got off a research call. I think everyone will be pleased about some genuinely amazing things coming together for Input Endorsers. We'll have a video at Consensus on it
— Charles Hoskinson (@IOHK_Charles) June 2, 2022
Notably, development activity on the Cardano network hit a new all-time high on 31 May. The team behind the project kept on working on it even as prices plunged amid a wider cryptocurrency market downturn. The development activity rose to 457 GitHub submissions per day just as the price of its native token ADA bounced after a large ‘realized profit/loss spike.’
Continuing the trend, at press time, dev. activity contributors count showcased an uptick while development activity was not looking northwards.
Source: Santiment
Goes without saying, given the developments and the increased optimism around this network, buyers would want to jump straight in. That’s exactly the case here. Cardano got a small bounce in the second half of 3 June’s trading session after large whale transaction counts began to appear on the ADA network.
Source: Santiment
This spike in the whale transaction led to a 5% price hike. But this could even highlight a further rally as quoted by Santiment in a 4 June tweet that read,
“An extreme example of the last time whales accumulated on a downswing, prices jumped +28% in 18 hours.”
Going forward, Cardano is going to continue to draw attention as the team will migrate Vasil onto the testnet. This will also result in much higher volatility for the coin, which has already increased by 554% this week. Thus, investors might want to watch out for price swings.
Total value ‘Unlocked’?
Just three days ago, the total value locked in the blockchain increased to $156 million in lieu of ADA breaching into the bullish zone. However, the hype seems to have faded with time. At the time of writing, Cardano’s TVL suffered a 6% correction as it slid below the $130 million mark.
Source: DeFiLama
Unfortunately, ADA too shared the same fate. According to CoinmarketCap, ADA witnessed a fresh 5% correction as it traded around the $0.56 mark.
