u.today
Cardano’s ADA skyrocketed over 27% in its trading volume, a key metric for determining investors’ sentiment. With this uptick, ADA now stands as an exception to other top cryptocurrencies currently experiencing declines in their prices.
ADA isolated from other top cryptos
Per data from CoinMarketCap, ADA displayed a price increase of 1.4% in the past 24 hours, to trade at $0.3952. The market capitalization increased by a similar percentage to $14 billion, while the trading volume surged to $331 million.
ADA’s substantial price increase is in stark contrast to other cryptocurrencies on the market. For instance, Bitcoin (BTC), the leading cryptocurrency, decreased by over 1% in the past day to trade at $60,868. Over the past week, BTC experienced a decrease of 5.2%. The trading volume, however, increased by a nominal 0.3%, a stark contrast from ADA’s 27% increase.
Similarly, Ethereum (ETH), the second-largest cryptocurrency, is trading at $3,392, representing a 1.68% decrease in the past day, and a 2.8% decrease in the past week. The trading volume declined by 7% to $11 billion, with the market cap pegged at $407 billion.
Why ADA is standing out
The recent uptick in ADA’s price and key metrics can be attributed to Cardano’s ecosystem expansion plans. Chief among them is the recent establishment of an interim Constitutional Committee, as announced by Cardano’s founder, Charles Hoskinson, in a YouTube video.
With the establishment of the new committee, ADA holders now have a say in Cardano's governance, according to earlier reports from U.Today. This announcement has sparked enthusiasm from the Cardano community, fueling increases in ADA’s price.
Moreover, Cardano has recently gained traction among institutional investors, which may be contributing to the rise in trading volumes. Additionally, the Cardano ecosystem recently boosted its connectivity through an integration with the Inter-Blockchain Communication protocol. This integration makes it easier for developers to create Ethereum Virtual Machine (EVM)-based applications, increasing the ecosystem’s reach.