In a period when Cardano’s market value remains subdued compared to its local peak in April, the leading layer-1 blockchain is experiencing a remarkable upswing in on-chain transaction volume. This uptick in utility, combined with the notable dominance of ADA in social discussions, presents promising opportunities for the token.
Recent insights from Santiment have revealed that ADA’s weekly transaction volume has soared by an impressive 1726%, a level last seen on January 20, 2023. Moreover, a spike in the discussion rate surrounding the token reflects heightened trader interest. While Cardano’s social metrics partly surged due to the renewed excitement following Grayscale’s recent legal victory, ADA, like several other altcoins, found itself trailing behind the broader market upswing.
Over the past 30 days, the overall price has decreased by nearly 16%, with ADA losing 8.7% in value over the last seven days. Despite these fluctuations, Cardano still maintains its position as one of the top seven cryptocurrencies in the top 100 list, boasting a market capitalization of $9 billion and a 24-hour trading volume of $166 million. Nevertheless, it remains 91% below its all-time high, requiring a substantial boost in Cardano’s price to make a significant recovery.
Cardano’s Development Activity
A recent report from the on-chain analytics firm Santiment highlights that Cardano is currently experiencing its highest development activity in the past 30 days. With these activities evolving into tangible projects, experts anticipate a potential upswing in ADA’s price.
Along with the surge in development activity on the Cardano network, a notable increase has been observed in daily interactions and transaction volumes. This uptick indicates growing user engagement and heightened interest in the protocol. However, while development and activity thrive, there has been a noticeable decline in fee generation on the protocol, with fee earnings seeing a 33% decrease over the last month, according to Token Terminal.
In the realm of staking, Cardano has also witnessed a steady rise in the number of ADA holders participating as stakers. Nevertheless, it’s essential to note that the reward ratio for ADA stakers has experienced a decline, potentially influencing staking behavior and the overall staking landscape.