Cardano NFT is the Secret Tool of ADA’s Recent Growth

06/08/2022By: C, Fiona

See why Cardano leads the cryptocurrency market in all blue chip cryptocurrencies. Cardano has specified 11 different ways to expand in 2022, including but not limited to the improvement of Plutus’ memory and CPU parameters, increase of block size, pipeline, input spokesperson, node enhancement, disk storage, side chain, layer 2 Hydra expansion solution, offload computing and Mithril solution.

In addition, Charles hoskinson, the founder of Cardano, recently shared that the daily online trading volume of Cardano has increased by 369%, while other chains have significantly decreased in this regard.Between Monday and Tuesday last week, the price of Cardano (ADA) crypto token jumped from US $0.5167 to US $0.6744, an increase of more than 30%.

In the past seven days, the price of Cardano has increased by 26.3%. Although ADA is still far behind its historical high of $3.09, after several weeks of cryptocurrency collapse, the current rebound is a relief for cryptocurrency investors and traders. In the past 24 hours, the market value of the entire cryptocurrency has exceeded the $1.30 trillion mark, of which Cardano ranks first among all blue chip cryptocurrencies.

What is the Reason Behind This Surge?

One of the main reasons for the soaring value of Cardano is that the data shows that the circulation of original assets on the network has increased significantly. At present, more than 5million assets have been cast on the Cardano blockchain network, which is the location of ADA tokens.

After iagon launched the Ethereum Cardano bridge for the second largest stable currency USDC, Cardano prices began to soar. With this, USDC and erc-20 IAG tokens can now be bridged from Ethereum to Cardano network. In the cryptocurrency world, the cross chain bridge allows the use of the encrypted assets of one blockchain on another blockchain. It is expected that after USDC is incorporated into Cardano, it will further strengthen its DeFi ecosystem.

According to the report of coindesk, the fundamental catalyst behind the soaring ADA price is the increase in the issuance of original assets on Cardano network. According to existing data, more than 5million assets have been cast on Cardano. In addition, the network upgrade to be carried out in June is expected to improve the expansion capacity of Cardano network.

The Upcoming Hard Fork

The upcoming Vasil hard fork is another factor that may push the price of ADA tokens of Cardano blockchain up. Vasil hard fork will be a network upgrade, which will improve the scalability of Cardano blockchain. The hard fork will take place in June. The hard fork in blockchain technology is a major modification to the network protocol, making previously invalid blocks and transactions effective, or vice versa.

Generally speaking, when the nodes of the latest version of the blockchain no longer accept the previous version, hard fork will occur, resulting in permanent separation from the previous network version. It is worth noting that Vasil hard fork is a long-awaited scalability upgrade, which will greatly improve the throughput of the blockchain network and make it more advantageous than other blockchain networks.

The so-called hard fork event known as “Vasil” will be tentatively held on June 29, 2022. Due to the joy surrounding this upgrade, traders began to speculate more about the rising prospect of ADA, resulting in its performance being better than other top ranked digital assets.

For example, ADA’s price rose by more than 14% to $0.64 on June 6, while its top competitor ether (ETH) rose by 6% on the same day. Cardano’s price history also shows that traders had similar excitement in the days before the hard fork event. For example, the “Alonzo” upgrade in September 2021 introduced the smart contract function to the Cardano network. Before that, the price of ADA increased by more than 200%. Similarly, in march2021, Cardano’s “Mary” hard fork was before ADA’s price increase of more than 1600%.