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Cardano (ADA) was in focus on Sunday, leading a tepid market recovery following the news that the developer network was marching closer to the introduction of smart contracts in the cryptocurrency market. Early market indicators have recently suggested that the fears of an unpleasant pre-Memorial Day selloff in cryptocurrencies may have been overstated.
Cardano ADA Leads a Cryptocurrency Market Recovery
In accordance with the data released by leading market aggregators recently, the combined value of all the cryptocurrencies surged around 4.4% on Sunday taking the market capitalization to $1.6 trillion.
Cardano ADA was leading the market rally with around a 17% surge in its price and touching the level of $1.70. At the time of writing this article, the cryptocurrency was being traded at $1.63.
Following the surge in its price on Sunday, Cardano was the fourth-largest cryptocurrency with a total market capitalization of $52.9 billion.
Looking at the data revealed by the market aggregators, almost every cryptocurrency listed in the top-20 witnessed gains on Sunday.
Talking about the market leader Bitcoin, Binance Coin, and Ethereum, their price surged 3.5%, 6%, and 4.3% respectively.
Regardless of the rally in the market, the overall sentiment of the market was inclined to the downside this weekend, with the investors in the market speculating about whether Bitcoin has bottomed out.
What Drove the Price of ADA
The presence of the oversold conditions following the latest market correction appears to have worked in the favor of ADA on Sunday.
Prior to the May 19 cryptocurrency market crash, the native currency of Cardano, ADA, was among the top-performing assets.
Noting fundamentally, the supporters of the cryptocurrency are celebrating the introduction of the Alonzo smart contract testnet by Input Output Hong Kong or IOHK, the development team behind Cardano.
In addition to this, IOHK released an explanation that said:
“The ‘Alonzo’ hard fork will bring exciting and highly-anticipated new capabilities to Cardano through the integration of Plutus scripts onto the blockchain. These will allow for the implementation of smart contracts in Cardano, enabling the deployment of a wide range of new Defi applications for the first time.”