Cardano price has slumped to a record low this year despite the recent Midnight mainnet launch. ADA trades at $0.25 today, April 10, up slightly from the all-time low of $0.2168. So, will the token rebound ahead of the upcoming Leios upgrade launch in June?
Cardano to Launch Leios Upgrade in June
ADA price will be in the spotlight in the coming months as Charles Hoskinson and the team prepare to launch the biggest update on the network since its inception.
The Leios upgrade will launch the testnet in June this year, with the mainnet set to happen later this year. Once activated, the network will lead to faster speeds by introducing parallel processing, which will have ranking blocks, endorsement blocks, and committees of validation. The developers hope that the network will be able to handle thousands of transactions per second.
The upgrade comes after the developers launched Midnight, its privacy sidechain. Midnight has already inked major partnerships, including with Momentum Bank, which will tokenize assets worth millions of dollars to the network. It has also made partnerships with companies like Sundae Labs, Fluid Tokens, Houdini Swap, and SecondSwap.
Cardano has made other major milestones in the past few months, as part of the Pentad proposal, which aims to grow its network by introducing new oracles, stablecoins, and analytics tools.
It onboarded Pyth Network as an oracle in its chain in December. Most recently, it added Dune Analytics and USDCx to its network. Another major development is that Cardano reached 120 million transactions while VolatilityShares launched the first Cardano futures ETFs.
Still, despite this, Cardano’s network has struggled to grow since its launch a decade ago. Data compiled by DeFi Llama shows that Cardano has just $137 million in total value locked (TVL), much lower than other popular chains like Solana and BSC Chain.
Cardano’s stablecoin supply has jumped to $48 million, which is much lower than most other chains, with Ethereum having $165 billion and Solana having $16 billion. Justin Sun’s Tron has $86 billion in stablecoin supply.
Cardano, unlike other chains, is not making any money. DeFi Llama data shows that Cardano made just $60,700 in March, its lowest amount in years. Its fees have dropped sharply from last year’s high of $977k.
These metrics explain why Cardano is often called a ghost chain. Despite having a market capitalization of over $9 billion, Cardano has no activity going on in its network.
Cardano price prediction: Technical analysis
ADA price chart | Source: TradingView
The weekly chart shows that the ADA price has plunged from a record high of $3 in August 2021 to the current $0.2525. This retreat has seen its market capitalization drop from over $90 billion dollars to $9 billion today.
Cardano recently dropped below the key support level at $0.2825, its lowest level in August 2024. It has remained below the 50-day moving average, while the Relative Strength Index (RSI) is hovering at the oversold level.
The Average Directional Index (ADX) has jumped to 34, a sign that the downward trend is accelerating. Therefore, the token will likely push further to its all-time low. If this happens, the token will drop to the key psychological level at $0.200.
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