Cardano (ADA) once again surpasses Binance coin, thus becoming the 4th largest coin in the crypto market.
At the time of this writing, ADA is trading at $ 1.42, accumulating a gain of 5.17% in the last 24 hours and 14.40% in the last 7 days.
Thanks to the recent price jump, the market capitalization is now $ 45,484 million, making it the 4th largest in the market.
How did Cardano (ADA) achieve this position in the crypto market?
ADA’s large price increase has gone hand in hand with its community’s expectations that the Cardano network will become the most scalable in the ecosystem, far surpassing Ethereum.
With the recent implementation of the Shelley update, positivism has been on the rise, due to improvements in staking and delegation.
The search for continuous improvement of this network has as its main objective to make Cardano the leader in the decentralized applications space.
The next update will be called Alonzo, which entered the testing phase on May 27 of this year. On June 11, the IOHK development team assured that Alonzo could already execute smart contracts.
The positive outlook shown by this cryptocurrency is the cause that there are already more than $ 30,000 million stake in the Cardano network. This amount of money means approximately 71.69% of the total in circulation of ADA tokens, which means a great impact on the shortage of coins.
What is Cardano staking for?
Staking in Cardano serves to secure the network. For users to lock their coins in the protocol, they are given an incentive paid in ADA.
Today the Cardano (ADA) network is by far the most valuable in staking in the entire crypto ecosystem. To give you an idea, Ethereum, being the 2nd largest network on the market, has about $ 12.2 billion blocked in staking.
As if these were not enough these fundamentals, yesterday the investment fund in cryptocurrencies Grayscale, welcomed ADA, making it the 3rd largest participation in Grayscale’s Digital Large Cap Fund.
The growing demand for coins with a network that encourages users to decrease the supply, can only generate one thing: a price increase in the medium / long term.
ADA technical analysis
The same strength seen in Cardano’s infrastructure is noticeable in the weekly price chart, where we see that the uptrend has remained intact, even with all the widespread losses in the market.
ADA price recently rejected support at $ 1.3120, signaling the possible bottom of the slide. The continued rejection of low prices speaks to us of seller exhaustion, and that it is very likely that we will soon see new highs.
This week the price is attempting to escape above a downward bias resistance, which has been manufacturing during the correction. Achieving it will be a good sign of a bullish resumption.
Key levels for Cardano price
On the daily chart of the crypto Cardano (ADA), we see that a short-term bullish succession has been created.
Today the price is challenging the immediate resistance, located at $ 1.42. Going through it will lead to an important recovery. However, as long as resistance holds at $ 1.80, we could still see short-term trouble.
To think about sales, the support at $ 1.32 must be breached. But, due to strong buying pressure in the area around $ 1.00, the bearish intention could quickly be reversed.
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