Cardano The price of ADA has dropped sharply over the last four weeks, as recent momentum continues in the cryptocurrency industry. ADA traded at $0.60 Thursday morning. This is 27% lower than its high point for the year. It’s in a bear market.
Cardano growth slows
Cardano has come under increasing pressure over the last few years. It is one of the most popular cryptocurrencies on the market. Recent data indicates that Cardano is no longer growing, but is instead being overtaken in popularity by newer blockchains such as Sui, Base and Blast.
The Decentralized Finance industry (DeFi), where there is no meaningful growth in the network, shows this performance most clearly.
DeFi Llama says that Cardano’s Total Value Locked is below 600 Million Dollars. This makes it the 18th largest blockchain in the entire world. Blast has surpassed it with over $1.7billion in assets.
Base has passed it as well, with its assets of over $1 billion. Arbitrum, Sui and Aptos are other newer blockchains which are performing better than Cardano.
A good example is FDUSD, which is the third largest stablecoin worldwide. You can also check out our Sui As its next choice of blockchain.
The biggest Cardano platform is not experiencing major activity. Minswap is the largest DEX for Cardano, but it only handled $3 million over the last 24 hours. This makes it the 91st most popular DEX.
MuesliSwap was the largest DEX for Cardano at one time, but it now handles only $3,660 worth of cryptocurrencies.
Cardano does not have a market share within the industries which dominate blockchain technology. Liquid is its largest lending protocol. Its TVL stands at just $57 Million. Platforms like AAVE or Compound, on the other hand, have assets worth billions.
Cardano is considered a “ghost coin” and therefore, its valuation is of great concern. Most cryptocurrencies have a high valuation. Cardano is a dead coin with a market capitalization of more than $20 billion.
Cardano price forecast
ADA’s price reached a high of $0.81 back in March. Since then, it has been on a steep decline. The price has fallen below the critical support level of $0.677. Its highest swing was in December.
Also, the coin’s price has fallen below its 50-day moving median. This is a sign that bears have taken control. The Relative Strength Index has also dropped below 50, which is the neutral libe.
Cardano’s price outlook is therefore bearish. The psychological level of $0.5 will be the next thing to monitor. As an alternative, the coin could bounce back and test the resistance level at $0.67.