Financial markets have been on a roller coaster ride over the past several months with holdings have escaped unscathed, yet Cardano (ADA) seems to have been hit harder than the overall crypto market, dropping out of the top five cryptocurrencies in relation to market cap. ADA went on an impressive run to close out 2021, reaching highs of just below $3.00 before losing several critical support levels due to the potential for upcoming policy shifts, the Ukrainian-Russian conflict, and market wide uncertainties before bottoming out at $0.84, which it is currently trading at.
Cardano (ADA) has strung together several days of gains while the overall market has struggled with sluggish performances over the previous week. After it’s strong performance, rising from $1.15 on January 11 to $1.49 at the time of publication, Cardano now ranks as the fifth-largest cryptocurrency carrying a market capitalization of around $50 billion and at the same time outpacing Solana which sits at a market cap of around $43 billion.
Cardano has been at the center of both rabid praise and mass criticism since its release in September of 2017. The digital token separates itself from the crowd with its rapidly advancing technology, its unique multi-layer architecture, and by using mathematical principles in its consensus mechanism. Yet claims of difficulty for programmers, especially in launching decentralized applications (dApps) on the Cardano ecosystem, have continued to bog down one of the more promising cryptocurrencies available.
Cardano’s ADA token kicked off trading early Tuesday morning by outpacing both Bitcoin and Ethereum, gaining 13% and rising up to hit a valuation of $2.30. Both Bitcoin and Ethereum are in a new price discovery phase and have been hovering around their respective all-time highs. Cardano’s recent movements have lit a new fire for altcoin enthusiasts who hope that ADA will join in on the current crypto bull run.