Last week, the crypto market did not experience much volatility, and the price movements of most coins remained calm. However, taking a broader look at market conditions allowed us to better understand how cryptocurrencies like Cardano performed in 2023. While the blockchain was successful in some aspects, its performance in other areas was not at the desired level.
According to the Cardano data published on August 14, the market remained in place despite fluctuations for a week, but slight movement was observed. However, when taking a broader look at the market since the beginning of 2023, things looked very different. While Bitcoin price has seen a 77% increase, ADA has only shown a 20% growth since the beginning of the year.
Although ADA couldn’t carry its value as much as BTC, the blockchain has been successful in several areas. For example, the performance of the blockchain in the DeFi sector was commendable. Cardano’s Total Value Locked (TVL) has been on an upward trend since the beginning of the year.
TVL is the total value of all assets invested in a DeFi protocol that generates economic activity. Therefore, an increase in this metric indicates an increase in the value of the network. In addition, the volume of DEX (Decentralized Exchange) has remained relatively stable over the past few months.
Not only that, but the blockchain’s development activities have remained at a high level. This was reflected in Cardano’s Mithril mainnet upgrade a few weeks ago. The Mithril upgrade reduced the time required for nodes to synchronize with the blockchain. The latest update aimed to increase the scalability of the blockchain under the BASHO Era.
Cardano needs to progress in specific areas
While growth has been achieved in the mentioned areas, Cardano’s network activity has decreased in the past few weeks. This was clearly evident from the decrease in daily active addresses since the beginning of July. The decrease in active addresses also affected the daily transactions of the blockchain and followed the same trend.
ADA’s social performance was also not at the desired level. Data showed that after an increase in June, ADA’s social interaction started to decline. The same was true for social mentions of the token. In addition, investors’ confidence in the token also decreased as bullish sentiment dropped by more than 77%.
Source:coinotag.com
