SAO PAULO – The Cardano cryptocurrency (ADA) has been on a trajectory of strong appreciation for some weeks now, but during the early hours of Friday (20) it intensified the movement, thus renewing its maximum history, which until then was US$ 2, 47.
The move comes amid high anticipation for an update, which is now scheduled to take place on September 12th. With the novelty, it is expected that the network will have support for the calls smart contracts (smart contracts, in English).
At 1:30 pm (Brasilia time), Cardano was up 17% in the accumulated 24 hours, quoted at US$ 2.52 – after reaching US$ 2.58 earlier, rising 20% -, in a day that is mostly positive for the cryptoactives market, but with a stronger valuation than most other tokens.
With the rally of recent days, Cardano has become the third largest cryptocurrency in the world by market value, with a capitalization of around US$ 81.18 billion.
Recently, experts consulted by InfoMoney named Cardano as one of the 5 cryptocurrencies to keep an eye on, apart from Bitcoin and Ethereum. However, there was a greater level of caution in the nomination due to the many promises already made by the developers and the little delivery to date.
“If it delivers what it is promising, it has a lot of potential,” said Rodrigo Miranda, responsible for the University of Bitcoin, at the time. “While Solana, for example, is delivering a lot and promising little, Cardano has already promised a lot, but it hasn’t delivered yet. If it starts to deliver, it has a great potential for appreciation”.
Also read: In addition to Bitcoin and Ethereum: 5 cryptocurrencies to keep an eye on, according to experts
Cardano is a network that mixes a few different known cryptoactive projects. On the one hand, it aims to act in smart contract operations, like Ethereum, while on the other hand, it also wants to act like a normal cryptocurrency, more or less like Bitcoin.
It is a platform that intends to work together with all other cryptocurrencies, as it believes that in the future they will all work together. In summary, Cardano addresses several problems worked by different tokens and tries to solve them.
After a long wait, a new update of the network, named Alonzo, should now take place in September. It’s already up and running on the Testnet call, an alternative Bitcoin blockchain that is used for testing.
Now, the expectation is that Cardano’s network will accept, for the first time, the use of smart contracts, including Decentralized Finance (DeFi) protocols, such as the Decentralized Exchanges (DEX).
For some enthusiasts, it is this model that makes Cardano a major competitor to Ethereum, as it has lower rates and uses the Proof of Participation (PoS) consensus model, which is more agile and cost-effective compared to to the proof-of-work (PoW) model, which is still used by Ethereum (despite prospects for change soon).
In early August, Frederik Gregaard, CEO of the Cardano Foundation, also encouraged investors by presenting a series of plans, including the integration of the network with 50 banks by the end of 2022.
Market high day
The positive movement is widespread in the market on Friday, with Bitcoin (BTC) rising more than 7% in the last 24 hours, to US$48,977, its highest price since May 14th. In reais, the largest cryptocurrency in the world advances 6.5%, to R$ 263,453.
The Ethereum (ETH) also has a strong appreciation, of 7.4%, quoted at US$ 3,286, renewing its maximum in three months.
Other cryptoactives with sharp gains today are XRP, jumping 11.15% to $1.28; Polkadot (DOT), up 10%, to $27.99; and Chainlink (LINK), up 10.25%, to US$28.87.
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