- Cardano (ADA) has shown resilience in April, retaining its top ten ranking, investors can focus on building bullish momentum in the new month.
- Cardano’s security and scalable infrastructure are poised to attract mass adoption to overtake Ethereum.
Cardano (ADA) is beginning to build bullish momentum after a resilient April. Once regarded as an Ethereum killer, Cardano remains one of the most popular cryptocurrencies in the market. After years of research and development, Cardano proves that scientifically and mathematically it is better than Ethereum.
But although Cardano has been recording stable growth, its numbers are modest compared to those achieved by Ethereum. Cardano offers cheaper fees, faster transactions, and scalability, that in the long run, will ensure its success over Ethereum.
A report by Crypto News Flash found Cardano (ADA) with a whopping 978,780 core commits, more than double the commits Ethereum (ETH) had (407,170) in the same period. Interestingly, looking at daily activity over the past month, Santiment data shows Optimism (OP), Cardano (ADA), and Hedera (HBAR) as the top three, followed closely by Polkadot (DOT) and Kusama (KSM). Ethereum (ETH) sits at number 8, with Chainlink and ETHStatus at number 6 and 7 respectively.
In April, ADA witnessed a lot of volatility instigated by Bitcoin, and its fourth Bitcoin halving event. This event has historically delivered high returns for the leading cryptocurrencies, further trickling down to altcoins including ADA.
ADA has come under massive pressure in the past couple of weeks, with some of the altcoins around it registering remarkable returns. This has seen a few climb above it in market cap rankings but ADA has demonstrated its resilience by retaining its coveted top ten position. This is key in attracting investor interest, forging partnerships, and ensuring network integration and exchange listings.
Gains or Losses for Cardano (ADA) Ahead?
Data shows that only 35% of ADA owners are in profit which places it under significant threat of losing investor interest. However, whales have continued to show interest in the altcoin, taking advantage of the discount prices to keep buying.
At the time of writing, ADA is trading at $0.47 after a 4% price surge. On the weekly, chart, the altcoin is still struggling after a 7% drop. The price movement is largely correlated to the broader market trend. For the most part, investors are watching Bitcoin which is anticipated to go on a bull run in the coming weeks fueled by the Bitcoin halving which has slashed miners’ BTC reward from 6.25 BTC to 3.125 BTC.
Crypto analysis platform Changelly has predicted a bearish end to the month, offering a $0.437471 price tag. This represents a nearly 10% drop from the current prices. However, compared to other major cryptocurrencies, Cardano (ADA) shows a potential sign of undervaluation. This is based on the “supply in profit” metric, which reflects the portion of coins currently held at a profit.
On-chain data reveals a lower percentage of profitable ADA holders (51.9%) compared to Bitcoin, Ethereum, and others. This suggests a larger number of ADA were bought at higher prices, potentially indicating the coin could be undervalued.
🤑 The percentage of supply in profit is calculated by comparing the acquisition price of each unit of #crypto against its current price, followed by determining what ratio of the supply is currently in profit.
Typically, when an asset is seeing a high ratio of supply in profit,… pic.twitter.com/oRzTABgznh
— Santiment (@santimentfeed) April 26, 2024
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