Cardano Beats Bitcoin and Ethereum as the Most HODL’d Crypto Asset on eToro in Q2 2021
Increasing demand is seen for lower-priced coins as retail looks for cheaper alternatives with staking rewards allowing investors to reap the rewards for holding them long-term, further driving demand.
Cardano, a popular coin among retail in 2021, remains the most held crypto by eToro US clients in Q2. It actually saw a 67% increase over Q1.
ADA beats the top cryptocurrencies like Bitcoin (BTC), which had a 42% increase in demand but still slipped from its first place, and Ethereum (ETH) and popular meme coins like Dogecoin which have the backing of Tesla CEO Elon Musk. ADA -0.04% Cardano / USD ADAUSD $ 2.16
$0.00-0.04% Volume 2.06 b Change $0.00 Open $2.16 Circulating 32.9 b Market Cap 71.13 b 3 d Polkadot Sets Launch Date for Initial Parachain Auctions, DOT Soars 17% Ahead of Crypto Market 5 d Institutions Are Back to Pouring Money into Bitcoin as a “Perfect Storm” Brews for the King 1 w Robinhood Cites Regulatory Actions or Policies Towards Crypto as Business Risk in Filing BTC 2.39% Bitcoin / USD BTCUSD $ 62,436.50
$1,492.232.39% Volume 29.76 b Change $1,492.23 Open $62,436.50 Circulating 18.85 m Market Cap 1.18 t 1 d Euphoria is Back Ahead of ETF Listings: Bitcoin Hits $63k and Ether Nearly $4k as NYSE Certifies “Approval for Listing” 2 d Green Energy Bitcoin Miner, MintGreen, to Supply Heat to 100 Homes in Canada 2 d Australia's Pension Fund Giant with $69 Billion AUM Is Open to Investing in Crypto ETH 1.24% Ethereum / USD ETHUSD $ 3,884.10
$48.161.24% Volume 16.06 b Change $48.16 Open $3,884.10 Circulating 117.97 m Market Cap 458.21 b 1 d Euphoria is Back Ahead of ETF Listings: Bitcoin Hits $63k and Ether Nearly $4k as NYSE Certifies “Approval for Listing” 2 d Bitcoin Breaks Through $61,000 as Euphoria & ‘Greed’ Brings the Money Back In 2 d Indexed Finance's NDX Is Down 92% from ATH After $16 Million Hack Sends it Crashing
DOGE is now the 2nd most held crypto by US users on eToro, according to the brokerage company. DOGE 1.70% Dogecoin / USD DOGEUSD $ 0.24
$0.001.70% Volume 1.41 b Change $0.00 Open $0.24 Circulating 131.73 b Market Cap 31.65 b 3 d CME Bitcoin Futures Open Interest Cracks A New ATH, Ethereum Aims for $4k Again 1 w Bitcoin Miner Maker Ebang Focusing on R&D and Sales of Dogecoin Mining Machines Besides BTC 1 w Robinhood Cites Regulatory Actions or Policies Towards Crypto as Business Risk in Filing
Simon Peters, a crypto market analyst at eToro, said the use case potential for Cardano’s native ADA token provided attraction for investors.
“During Q2, Cardano provided a clearer roadmap for its upcoming Alonzo hard fork – currently in a testing phase,” said Peters, who noted that,
“If successful, it will bring smart contract functionality… for the first time on the Cardano blockchain.”
Up more than 700% YTD, this jump in prices suggests investor optimism around “Cardano’s ability to challenge Ethereum long-term,” he added.
Check out the most HODL'd cryptoassets on eToro in Q2 2021: pic.twitter.com/uC2rsFRSn0
— eToro US (@eToroUS) July 6, 2021
Ethereum, which has rallied 225% so far this year, also gained popularity with a 79% increase in investors holding the asset.
In Q2, smaller crypto assets like Tron (TRX) and Ethereum Classic (ETC) lead the charge, with the former seeing a 163% increase in global users holding the assets compared to Q1 and the latter having a 151% quarter on quarter rise. TRX 1.06% TRON / USD TRXUSD $ 0.10
$0.001.06% Volume 1.18 b Change $0.00 Open $0.10 Circulating 71.66 b Market Cap 7.12 b 3 w Deutsche Boerse Expand Crypto Offering to Include Polkadot (DOT), Solana (SOL), and Tron (TRX) ETNs 1 mon Ether Address Growth Surpasses Bitcoin, A Record 7.5 Million Addresses Holding at Least $1 Worth of Stablecoins 1 mon More than 65% of South Korean Crypto Exchanges to Shut Down Once FSC Deadline Hits ETC -1.05% Ethereum Classic / USD ETCUSD $ 53.54
-$0.56-1.05% Volume 706.39 m Change -$0.56 Open $53.54 Circulating 130.28 m Market Cap 6.98 b 1 w Robinhood Cites Regulatory Actions or Policies Towards Crypto as Business Risk in Filing 2 w Bitmain Moves Production Out of China, Crypto Mining Pools Continue to Shut Down 1 mon Robinhood Trading App Rolls Out “Dollar Cost Averaging” for Crypto Investments
“Rather than focus solely on Bitcoin and Ether, where many investors can only own a fraction of a coin, we are seeing increasing demand for lower priced coins,” explained Peters.
The market is basically looking for cheaper alternatives, which are priced around $1 with staking rewards allowing investors to reap the rewards for holding these assets long-term, further helping drive demand.
Overall, the multi-asset investment platform revealed increases in the numbers of crypto assets held during the last quarter, suggesting increasing confidence among people in cryptocurrencies.
“Cryptoassets have had an exciting year, with big milestones achieved in terms of price movements and increased institutional investment signaling more adoption by the traditional financial services ecosystem.”
He further noted that long-term fundamentals remain strong despite the volatility, and issues like energy usage continue to hit the market as the “emerging asset class continues to revolutionize many aspects of financial services.”
Amidst this, eToro launched a “chip-tech” portfolio this week that comprises 35 companies that play varying roles in the semiconductor domain.