According to new statistics supplied by Santiment, Cardano, one of the major blockchain platforms, is defying general market trends with a rise in its on-chain transaction volume, despite a depressed market value in comparison to its April highs.
According to CoinGecko’s statistics, Cardano is currently trading at $0.257058, up 0.7% vs the USD and 0.4% against Bitcoin.
With a 24-hour trading volume of around $97 million, the platform has a market value of slightly over $9 billion.
Industry watchers are nonetheless paying attention to the steady increase in on-chain transactions, which indicates utility and demand outside of speculative trading.
Utility is frequently what determines a cryptocurrency’s worth since it indicates how useful and long-lasting it will be. Despite the muted market performance, Cardano’s increased on-chain activity indicates a strong network that is in use. When combined with what the Santiment watchers refer to as “adequate social dominance,” or the overall attitude and debate surrounding a certain asset in online forums and social media channels, this might potentially pave the way for a future market resurgence.
It is important to keep in mind, though, that the cryptocurrency market is famously volatile and frequently impacted by a variety of elements, from regulatory news to macroeconomic statistics. Rising on-chain transactions, which may indicate high utility, are therefore not always a hint of impending price growth. Prices could not increase in the near future if insufficient fresh capital enters the market.
The study by U.Today indicates that the price prognosis for ADA is negative given that the token has been unable to move through resistance at $0.257.
