Cardano (ADA) in Strong Correlation with Bitcoin (BTC) while Fundamentals & Searches Growing
In 2019, till date ADA has surged just over 82 percent, just about the double of spike Bitcoin has seen in this year so far.
At the time of writing, the 10th largest cryptocurrency by market cap of $1.9 billion has been trading at $0.0757 with 24-hours gains of 3.39 percent in tandem with Bitcoin and the rest of the market.
ADA USD Chart, Source: TradingView
ADA price trend is, in fact, following the price chart of leading cryptocurrency Bitcoin very closely as the analyst, Undersearcher who follows both BTC and ADA says,
“When it comes to price trends, ADA is mostly still just following the leader BTC, just like the rest of the market. The (Spearman) correlation of ADA with BTC is 0.8, which can be interpreted as a strong association.”
A Gradual Growth
However, it’s not just the price chart for Cardano that started seeing some healthy signs, its ecosystem and community is growing as well. Whether it’s the Cardano subreddit that has risen to 72.7k subscribers or the Twitter account of Cardano Foundation that has 151k followers or its founder Charles Hoskinson’s that has 108k followers or more than 25k people that follows Cardano Foundation on Facebook, the numbers are ever growing. This gradual growth in the community can also be seen in the number on GitHub stars as well.
Over these past few months, the number of searches for the term Cardano is also on the rise on Google and Binge. Though we are nowhere near the 2017 peak when the price of cryptos exploded, the increase can be especially seen last month when prices started making some greens following into this month.
Apart from price, the IOHK summit is also working in its favor and most importantly the anticipation around the upcoming Shelley release has everyone excited.
The soul of Shelley is out https://t.co/5Hcwt40BsU
— Charles Hoskinson (@IOHK_Charles) April 17, 2019
Just recently, EMURGO, the investment arm of Cardano announced the launch of a Cardano blockchain explorer called Seiza, at the IOHK Summit. To be released before May ends, the name of the explorer is derived from the Japanese word for “constellation.” This basically reflects the Japanese heritage of EMURGO and its aim to become a blockchain navigation guide.
“I am excited to see that EMURGO has developed such a useful and innovative product for the Cardano community. The ability to have transparency is a vital function for the Cardano blockchain protocol and Seiza delivers this in an amazing way for users,”
said Hoskinson, the CEO of IOHK.
Additionally, the daily transactions and unique addresses used saw a significant uptick recently. The surge even reaches late 2017 level at one point but since the price exploded in early April, it has cooled down some.
However, when you take a look at the amount of ADA that is being moved, the numbers are much lower than in previous cycles. Regarding this, the analyst says, it’s possible that the recent price growth might have been driven by retail investors that explains the mini- capitulation we are experiencing currently.