Cardano network reaches new achievement with 5 million addresses on the network
The Cardano network has reached a new milestone with more than five million addresses operating on the network with a 48% increase since the start of the year.
The strong increase in the number of users correlates with the rising number of dApps and solutions on the network, showing the fundamental growth of the network.
In March 2021, the number of addresses on the Cardano network stood at around 2.6 million. By comparing both the TVL and the holder count metric, we can clearly see the spike in address count with the release of smart contract technology for Cardano.
Decentralized apps and solutions push Cardano further
Thanks to high demand for decentralized finance, Cardano could get a “second wind” in terms of development and fundamental growth. We can clearly see the dynamic before the announcement of the new disruptive technology as the price of underlying coin ADA barely moved since the bullrun of 2017.
After the release of the new Cardano-powered technology, ADA rebounded nearly 200% in about a month. But the effect of the announcement on the price was mostly speculative, which made ADA a heavily overbought asset. When the imbalance between the sell and buy orders appeared, the market could not cover the selling pressure, causing the asset to fall to new lows.
Since the announcement of smart contracts, ADA dropped by over 70%. But thanks to the growing number of decentralized solutions and apps on the network, it could regain over 40% in the last weeks of trading.
At press time, ADA is trading at $1.14 after hitting the local high of $1.25.
