ADA, Cardano’s native currency, has gone up by 100 percent in value in a month, becoming the world’s third-largest digital asset (for a spell) on the back of an announcement referencing the blockchain’s “Alonzo” upgrade.
The price of ADA was $2.4 as of publication, having gone over the $2 mark for the first time in three months. Cardano has experienced a steady bull run since hitting support at $1.00 in July, with its market cap hitting $80 billion, which put it ahead of Binance Coin and Tether before a dip back to $78 billion.
The Cardano blockchain’s chief developer recently announced a release date for the upcoming upgrade, one which would see smart-contract functionality introduced. This will, in turn, permit Cardano to involve more DeFi applications and put the network in pole position to make a run at Ethereum. The latter is the undisputed leader when it comes to smart-contract functionality.
Coming For Ethereum
Cardano, developed by Charles Hoskinson, is keen on competing with Ethereum, as well as other decentralized blockchains, boasting improved features such as higher security and better scalability. The smart-contract capability will certainly give it a foot in the race.
In a video published by developer Input Output this Friday, Nigel Hemsley announced the Alonzo upgrade is set for launch on “Monday, Sept 12,” rather erroneously as September 12 is a Sunday. The error was corrected with a tweet simply stating “Sept. 12.”
ADA went as high as $2.6 on Friday morning, which, as mentioned above, is its first run above $2.00 since May. The altcoin was trading at an all-time high of $2.31 as of the middle of said month.
Hemsley’s announcement has spiked excitement among crypto enthusiasts and investors and is considered to be directly responsible for the move up the charts. The Alonzo upgrade is one of the most anticipated developments in the crypto space; given that it’s nearly here, it’s no surprise Cardano has moved up the rankings to grab a spot at No.3.
“Any growth in the price of cryptocurrencies is either directly caused by positive news driving up sentiments among buyers or a growth in tandem with the overall market trend,” head of data analytics at crypto broker CEX.IO Yuri Mazur told Coindesk in an email. “Cardano’s highly anticipated Alonzo upgrade is also a good reason for investors to stack up the coin.”