Cardano records huge increase in on-chain activity, with new addresses rising by 167%
A prominent crypto analyst reports a significant increase in on-chain activity for the Cardano blockchain, referencing IntoTheBlock’s net network growth metrics.
The analyst notes that the number of new daily addresses being created on the Cardano network has grown by nearly 167% to surpass 112,500 addresses. Sustained growth in this metric usually precedes a spike in price volatility for ADA, the analyst maintains.
This can also be supported by recent data from Messari; Aside from Bitcoin, Cardano ranks first in terms of transaction activity, overtaking Ethereum. Based on trading volume, Cardano overtook Ethereum at $15.06 billion, while the latter recorded 24-hour volumes of $6.71 billion.
Adjusted transaction volume is still a good way to isolate only the most important transactions. Cardano outperformed Ethereum in adjusted volumes, with a 24-hour volume of $14.26 billion, compared to the latter’s $5.20 billion. In comparison to Bitcoin and Ethereum, Cardano users also paid lower fees.
Cardano users only paid $54,027.47 in transaction fees in the past 24 hours, compared to $0.44 million and $25.87 million for Bitcoin and Ethereum, respectively. Cardano’s SundaeSwap recently reached a milestone of over 100 million ADA traded weeks after its market launch.
ADA price action
The ADA price is teetering at $1.07 at press time. Several factors could contribute to an increase in the price of ADA in the medium term, as the asset is yet to reflect the favorable fundamentals of its network development.
A return of buyers, in an optimistic scenario, could see Cardano’s price hold around the $1 support level and stabilize ahead of another sharp rise. If the buyers rally, a rebound from the $1.18 barrier could trigger a significant upside. If the upsurge then pulls ADA back above $1.79, it could signal the start of a new uptrend to retest the $2 range.
