Investing.com – The rose 10% today to $0.6395, making ADA the only Top20 cryptocurrency to post a weekly gain (4.93%).
The coin benefits from the fact that a fundamental network change is underway with the Vasil hardfork. This should be the cornerstone for better blockchain scalability in the future. It is mainly dApps that benefit from this, which is why the number of projects in development recently exceeded the 1000 mark.
Last year, a similar price development could be seen when the network introduced the long-awaited support for Smart Contracts.
Grayscale is also taking this development into account and incorporating the coin into its Digital Large Cap fund. Cardano even gets the largest weighting with a share of 32.33 percent.
Interest in the ADA network seems to have reached a new high. According to data from analytics platform Messari, the blockchain recorded its highest adjusted transaction volume in 24 hours at $10.71 billion. A result that even the did not achieve at that time.
Technical thresholds to watch on Cardano
Cardano managed to break above the 38.2 percent Fibo retracement of $0.5947 based on the day’s closing price. Today, the 50 percent Fibo retracement of $0.6539 has already been tested.
Whether the rally can really expand ahead of the Vasil hardfork now hinges on whether we can sustainably breach the 50 percent Fibo retracement resistance. If successful, gains can be extended towards the 61.8 and 78.6% Fibo retracements of $0.7131 and $0.7975.
However, if the bulls get discouraged and don’t raise their stakes, the 38.2 percent Fibo retracement will offer immediate support. Below that, attention would be on the 23.6% Fibo retracement of $0.5214.
By Marco Oehrl