Cardano

bullish

Solana

Milk

Cardano is witnessing a growth slowdown in the current cycle as per data by IntoTheBlock. Cardano’s user adoption has taken a hit in terms of adding new users despite its stable active user base over time. 
In August, Cardano’s development activity is also on a decline based on the number of code commits. On the contrary, code commits on Ethereum have increased by 14% in the last 30 days. 
<h3 id="span-style-font-weight-400-cardano-fails-to-attract-new-users-span">Cardano fails to attract new users</h3> 
Cardano user addresses with a balance has remained stagnant at around 4.45 million for almost a year, according to data by <a class="editor-rtfLink" href="https://x.com/intotheblock/status/1823272401448095853" target="_blank" rel="noopener nofollow">IntoTheBlock</a>. The slowdown comes as Solana and Base draw increasing attention from new users. 
According to crypto analyst Milk Road, Solana’s active address count has increased by almost 4 times in 2024. On August 6, <a class="editor-rtfLink" href="https://dune.com/21co/solana-key-metrics?Timeframe_efcd71=All-Time" target="_blank" rel="noopener nofollow">Solana</a> added almost 300K new non-vote addresses. 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 Weekly active addresses on <a href="https://twitter.com/solana?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">@Solana</a> broke 10M at the beginning of August only to cool down with a recent market dip 
 That’s still almost 4x since the start of the year 
 Crazy growth YTD <a href="https://t.co/rLVyjcM1SE" rel="nofollow" target="_blank">pic.twitter.com/rLVyjcM1SE</a> 
 — Milk Road (@MilkRoadDaily) <a href="https://twitter.com/MilkRoadDaily/status/1823019128107782470?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">August 12, 2024</a>
</blockquote> 
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
Despite the competition, Cardano reportedly maintained its transaction count and active user base since April. The network notes $7.2 billion in daily on-chain volume and a low network value to transactions (NVT) ratio of 2.62. Additionally, ADA held by long-term holders has reached an all-time high with 40% of the total supply. 
But the development growth is nowhere at the levels of the last cycle. According to <a class="editor-rtfLink" href="https://tokenterminal.com/terminal/financial-statements/cardano" target="_blank" rel="noopener nofollow">Token Terminal</a>, Cardano’s code commits in August 2024 are at 338, registering a 74.5% drop month-on-month as July stood at 1.33k commits. The core developers in the 30-day period are also down almost 9% to 95. The figures come against the backdrop of <a class="editor-rtfLink" href="https://www.cryptopolitan.com/cardano-ada-chang-hard-fork-launch/" target="_blank" rel="noopener">Chang hard fork</a> which aims to increase coordination between nodes. 
Contrarily, <a class="editor-rtfLink" href="https://tokenterminal.com/terminal/projects/ethereum" target="_blank" rel="noopener nofollow">Ethereum’s</a> development has accelerated in the last month with code commits increasing by 14% to 1.11k. 
<h3 id="span-style-font-weight-400-ada-price-down-20-in-30-days-span">ADA price down 20% in 30 days</h3> 
<a class="editor-rtfLink" href="https://www.coingecko.com/en/coins/cardano" target="_blank" rel="noopener nofollow">ADA price</a> is on a recovery part on the weekly and daily charts after losing almost 23% value in 30 days.&nbsp; 
However, the Cardano native is still down almost 90% from its record peak of $3. ADA surpassed the $0.7 price level in March this year before coming down to the range of $0.3 in August in almost a 60% drop. 
<figure id="attachment_568022" aria-describedby="caption-attachment-568022" style="width: 100%" class="wp-caption alignnone">
 <img loading="lazy" decoding="async" class="wp-image-568022 size-full" src="https://www.cryptopolitan.com/wp-content/uploads/2024/08/ADAUSD_2024-08-14_07-31-23.png" alt="Cardano's double whammy: Address growth slows, development activity declines by 75%" width="1920" height="834" srcset="https://www.cryptopolitan.com/wp-content/uploads/2024/08/ADAUSD_2024-08-14_07-31-23.png 1920w, https://www.cryptopolitan.com/wp-content/uploads/2024/08/ADAUSD_2024-08-14_07-31-23-300x130.png 300w, https://www.cryptopolitan.com/wp-content/uploads/2024/08/ADAUSD_2024-08-14_07-31-23-1200x521.png 1200w, https://www.cryptopolitan.com/wp-content/uploads/2024/08/ADAUSD_2024-08-14_07-31-23-768x334.png 768w, https://www.cryptopolitan.com/wp-content/uploads/2024/08/ADAUSD_2024-08-14_07-31-23-1536x667.png 1536w" sizes="(max-width: 1920px) 100vw, 1920px">
 <figcaption id="caption-attachment-568022" class="wp-caption-text">
 ADA 1-day chart on TradingView
 </figcaption>
</figure> 
Crypto influencer <a class="editor-rtfLink" href="https://x.com/Bitcoinsensus/status/1823280706270683570" target="_blank" rel="noopener nofollow">Bitcoinsensus </a>notes signs of potential recovery due to a bullish pennant pattern on the charts. The pattern often follows a period of consolidation before a breakout. 
The relative strength index (RSI) also indicates a reversal from the oversold zone. The RSI at the time of writing has stabilized at 40 in the last 3 days. There seems to be a potential for a reversal if the RSI continues to rise with bullish momentum.

Cardano’s current cycle growth remains weak as new users choose competitors

Table of Contents

Cryptopolitan_News

Other articles published on Aug 14, 2024

What is the Recent Paradigm-Funded Reddio Network?

Dominasi Bitcoin Terus Naik di Tahun 2024, Ada Apa?

Bitcoin Surpasses $61,500 After US Market Open

Mt. Gox Bitcoin Movement Sparks Market Reactions

BlockDAG's X1 Miner App Updates in Dev Release 88 Captivate Toncoin Investors Amid Oscillating Pr...

Uniswap Foundation Reports $36.81M in Reserves and $3.22M in New Grants for Q2

Join our free newsletter for daily crypto updates!