A lot of negative reports emerged in the Cardano news over the past few weeks, showing that the blockchain behind the cryptocurrency is only used by a few people. However, the Cardano price is up by 47% in 2020 alone, increasing from around $0.033 to more than $0.054 now.
Even though the same could be said about a lot of the thousands of other digital currencies, these gains do not appear to be based on actual usage. Data from the blockchain shows that Cardano price blossomed despite the low usage.
The tenth most popular cryptocurrency asset in terms of market capitalization routinely sees blocks that are empty. When they are not empty, they contain just a handful of transactions. The software developer Joshua Henslee tweeted the following yesterday:
— Joshua Henslee (@cryptoAcorns) January 30, 2020
A look at the Cardano blockchain (via Blockchair.com) confirms that the lack of network use is significant. However, the Cardano price is up and at the time of writing, 66 of the last 100 blocks contained no transactions whatsoever.
Other blocks contain only one or two transactions and all of this resulted in a situation where those mining ADA have added more blocks than the total number of transactions. Evidently, the actual use of Cardano is incredibly low.
Clearly, the Cardano price action in 2020 is based mostly on the speculation for what the system might achieve in the future, the Cardano Shelley roadmap and many other things that the team announced earlier. Also, let’s not forget the announcement from the Cardano founder Charles Hoskinson last week, when he said that a major partnership with the accountancy giant PwC is underway.
While the markets of most coins are based on speculation, most of the top ten cryptocurrencies are seeing some use. Bitcoin, for instance, is emerging as a store of value for billions of dollars, Ethereum is expanding its DeFi ecosystem and even the Bitcoin SV news show that BSV has a specific weather application that many proponents are impressed by.
All in all, the Cardano price is stable and is now at $0.0538 in a new correction of 0.47%. Anyways, Cardano’s momentum is solid just like its total market cap which is now at $1.4 billion and counting.
DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]