Cardano’s Struggle for Adoption: Is It Over for ADA?

Cardano’s Struggle for Adoption: Is It Over for ADA?

The Cardano (ADA) price is facing challenges as it drops out of the global top 10 crypto rankings. Currently trading just above $0.50, ADA is down close to 3% on the day. Despite a recent rebound from mid-month lows, ADA failed to push back above its 21DMA in the $0.52s, leading to increased sell pressure. With a market cap of around $17.8 billion, ADA ranks as the 11th largest crypto, behind Toncoin (TON) and Dogecoin (DOGE). While ADA is up 25% versus recent lows, it remains down over 20% monthly and more than 15% yearly. This decline is further emphasized when compared to the performance of other major cryptos in recent months. Bitcoin (BTC), for example, is up 57% in the past 90 days, while Ether (ETH), BNB (BNB), and Solana (SOL) are up between 40-100% over the same period.

On-chain metrics reveal that Cardano is struggling to attract a substantial base of crypto users. With a total value locked (TVL) of just $416 million, Cardano lags behind competitors like Solana, which has well over $10 billion locked. Additionally, daily transaction counts for Cardano are significantly lower compared to Bitcoin, Ethereum, and Solana. While Bitcoin sees between 300,000 and 750,000 daily transactions, Cardano rarely surpasses 100,000. Ethereum, on the other hand, averages over 1 million daily transactions, and Solana typically sees 15-30 million. These metrics have led critics to label Cardano as a “ghost chain,” highlighting the platform’s struggle for real-world adoption.

As long as Cardano continues to face challenges in attracting adoption, it is likely to fall behind its major peers in the crypto market. While the ADA price may not necessarily decline in USD terms, without faster adoption, it may struggle to surpass $1 in this bull market. However, with numerous ambitious projects on the blockchain aiming to attract users, there is still potential for Cardano’s fortunes to change. If any of these projects gain traction in the market, Cardano could see a shift in its trajectory.

For crypto investors seeking investments with greater upside potential, presale investing in web3 projects and protocols may be worth considering. These projects often offer native tokens at an early bird discount to raise funds for development. Analysts recommend looking into projects like Mega Dice Casino, which has launched a presale of its utility token DICE. Holders of DICE benefit from cashback rewards on wagers, passive income through staking, and exciting airdrop opportunities. As the project nears the $1 million fundraising milestone, the price of DICE is expected to rise.

It is crucial to remember that crypto investing is a high-risk asset class. The information provided in this article is for informational purposes only and should not be construed as investment advice. Investors should conduct thorough research and consider the risks involved before making investment decisions in the crypto market.

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