What’s Driving Cardano? ADA Coin Touches One-Week High

Following in bitcoin’s footsteps, the top-30 cryptocurrencies declined on Wednesday – with one notable exception. Cardano, or ADA coin, touched an eight-day high on the heels of an important testnet launch.

ADA Price Levels

The value of ADA peaked at $0.218 on Wednesday, its highest in over a week, according to CoinMarketCap. At the time of writing, the coin was valued at $0.211, up 3.4% from the previous 24 hours.

Total trade volumes were $219 million, which accounted for 1.4% of total market turnover.  Volumes surged past $330 million during last month’s bullish rally. During its peak in January, ADA was doing more than $800 million in daily transactions. At that time, the currency was valued as high as $1.27, according to CoinMarketCap data.

Though ADA is listed on several leading exchanges, the vast majority of transactions are processed through Upbit and Binance. Combined, these two platforms account for more than two-thirds of ADA transaction volume.

Smart Contracts Testnet

Charles Hoskinson, Cardano’s chief architect, tweeted earlier this week that the ADA platform had launched its first smart contracts testnet. The announcement puts Cardano one step closer to achieving its aim of becoming a platform for smart contracts, decentralized applications, side chains and multi-party computation.

The recent testnet launch, called KEVM, is based on the Ethereum Virtual Machine (EVM) in support of a third-generation cryptocurrency. Cardano plans to release another testnet sometime in July, which it calls IELE.

Through the latest testnet, developers have the opportunity to take existing applications from EVM and execute them on KEVEM.

According to Cardano’s official roadmap, the next major milestone is Basho, a new set of features “focused on performance, security and scalability.”

Hoskins tweeted on Tuesday that work was already underway on “Cardano 1.3.”

“So you know what we are going to do now that cardano 1.2 is out? Start getting Cardano 1.3 ready for QA. That boulder ain’t going to push itself up the hill!” he said.

ADA adoption is still considered quite low, though analysts and blockchain enthusiasts have given the platform’s technology top grades. At last check, only 31 exchanges supported ADA. By comparison, bitcoin is available on 400 exchange listings.

That said, Cardno ranks second in terms of 12-month of GitHub commits. Only Komodo (KMD) is ranked higher.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Chief Editor to Hacked.com and Contributor to CCN.com, Sam Bourgi has spent the past nine years focused on economics, markets and cryptocurrencies. His work has been featured in and cited by some of the world's leading newscasts, including Barron's, CBOE and Forbes. Avid crypto watchers and those with a libertarian persuasion can follow him on twitter at @hsbourgi