ADA, Cardano’s native token, reached $3 at the height of the bull run from 2020-2021 in August. Developers activated smart contract around the peak of the cycle, after the Alonzo fork. This ushered in the Goguen stage.
Alonzo and Smart Contracts Did Alonzo Kill ADA
Atomic Wallet’s analysts have found that the company has a wide range of products. noteADA’s price has fallen by more than 90% since the beginning of the year. ADA was trading at $0.32 at the time of writing and found immediate support around $0.30.
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Although traders remain optimistic, recent events could indicate that Cardano’s activation of the smart contract system was a failure. “kill” It is a measure of the value. By 2022, the crypto winter will have worsened prices and left those who invested in August of 2021 with a mud coin.
However, it remains to see if ADA is able to recover over the next few weeks and reversal losses in 2022. It’s obvious that Cardano was at a critical point with the Alonzo fork. It was important to make the transition because before September 2021 developers could not deploy dApps or take on Ethereum There are many competing property types that support smart contracts.
Cardano’s developers have faced criticism for years because they are accused of pushing back the process by using millions to develop. Users can create and execute dApps using Plutus scripts after Alonzo. All fees on the blockchain are paid in ADA.
Cardano’s ecosystem has developed over time, as seen by its total value locked. According to DeFiLlamaDeFi protocol on Cardano is active now after Alonzo and manages over $177 Million in Assets.
Although the number of smart contracts on BNB Chain is relatively small compared with Ethereum, the developers have taken advantage and developed solutions using the network.
Cardano Transitioning to Voltaire – Will things change?
This current discrepancy between ADA value and coinholders’ expectations post-Goguen should be a cause for concern. Cardano has just completed the Basho stage and is now moving on to Voltaire.
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Voltaire focuses on making Cardano governance decentralized. Here, ADA holders will be able to directly improve the network by voting on proposals. There will also be a Treasury for projects deployed using Cardano. As of now, roughly 33% of all stake pool operators (SPOs) ready.
ADA is still under intense selling pressure. If buyers do not step up, ADA could fall to 2023’s lows around $0.22 if they don’t act. Bulls are likely to push ADA towards March 2024’s highs if prices increase above $0.50.
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Source: www.newsbtc.com