Cardano’s ADA price has experienced a remarkable surge of 50% in the past week, driven by a weakening US dollar and positive market sentiment.
Founder Charles Hoskinson has recently emphasized Cardano’s scalability, comparing its growth to that of Bitcoin, all without relying on venture capitalists or influencers.
ADA, the cryptocurrency of Cardano, has seen its price rise by approximately 50% over the last seven trading days, marking a significant leap. After a slight loss earlier in the week, ADA reached its highest level since May 2022, reaching $0.681.
One contributing factor to Cardano’s price recovery is the notable decline in the US dollar index (DXY). The decision by the US Federal Reserve Bank (Fed) regarding interest rates has led to the devaluation of the US dollar. This downward trend has benefited the entire cryptocurrency market, including ADA.
Charles Hoskinson, the founder of Cardano’s Layer-1 protocol, has addressed critics of the network and reaffirmed its scalability. He drew comparisons to Bitcoin, the leading cryptocurrency, recalling a time when concerns were raised about Cardano’s blocks being overcrowded and the narrative that the blockchain was useless.
Since then, Cardano has undergone significant development, reaching important milestones and enhancing its capabilities. Hoskinson emphasized that Cardano is designed to handle such loads and has ample room for network and DApp improvements in the short and long term. He stressed that community involvement has been instrumental in Cardano’s rise, setting it apart from relying on influencers, venture capital, or crypto media.
The relationship between Cardano and the XRP community has been tense, as highlighted by Hoskinson’s previous tweets. In a tweet from a year ago, he criticized the XRP community, referring to them as “toxic and petty.” Despite overtures from Ripple CTO David Schwartz, Hoskinson rejected any possibility of collaboration between Cardano and XRP.
Hoskinson remains firmly opposed to a collaboration between Cardano and XRP, citing personal attacks, harassment, and an inability to have a conversation from the XRP community. The lack of technological similarity between XRP and Cardano is a major point of contention, as the two blockchain initiatives have different goals. While Cardano and other blockchain startups aim to solve related problems, XRP primarily serves as a platform for Central Bank Digital Currency (CBDC) and an interbank settlement system.
The Total Value Locked (TVL) of Cardano has experienced a significant surge of 180%. In a recent announcement, Cardano revealed that its TVL has jumped from $188.65 million on October 17 to $529.42 million on December 15, according to DefiLlama statistics. This substantial increase indicates a growing interest and involvement in the decentralized finance (DeFi) ecosystem on Cardano.
In conclusion, Cardano’s ADA price has seen a remarkable increase, driven by a weak US dollar and positive market sentiment. Charles Hoskinson has highlighted Cardano’s scalability and emphasized its independence from venture capitalists and influencers. Despite tensions with the XRP community, Cardano continues to thrive and experience growth in its Total Value Locked.