Cardano Hydra : What is it about? Can it bring the price change?
With its second pre-release this week, Cardano Hydra has launched end-to-end node integration Cardano Hydra Hydra, Cardano’s scalability solution, has released end-to-end node integration in its second pre-release. The Cadano development team continues to push forward at a fast...
With its second pre-release this week, Cardano Hydra has launched end-to-end node integration
Cardano Hydra
Hydra, Cardano’s scalability solution, has released end-to-end node integration in its second pre-release.
The Cadano development team continues to push forward at a fast pace with 3,057 new GitHub commits.
Hydra, Cardano’s scaling solution, is closer to release
Hydra, the layer-2 scaling solution for Cardano, is in the works. The Hydra team launched this week its second pre-release, an end-to-end Cardano node integration.
The team of developers at Cardano added 3,057 new commits to GitHub, making progress towards Hydra’s launch.
Launching the layer-2 scaling solution is crucial to the Cardano blockchain as it will allow parallel processing of transactions and smart contracts. The implementation of Hydro in the Cardano ecosystem would result in similar results as Ethereum’s sharding or parallel blockchains.
Also Read: The Cons of Cardano: No more Cards left?
The Cardano development team continued to work on the altcoin’s wallet, increasing its compatibility with the latest node version, v.1.32.1.
Since Uptober, the market hasn’t been all that bullish for the last two months. Even so, some assets, like AVAX, LUNA and MATIC, managed to reach new ATHs while the king coin consolidated. The price of ADA, once the third-ranked coin by market cap, has fallen nearly 50% since its ATH on September 2.
In the aftermath of the bloodbath that ADA experienced over the last month, the asset tested the long-term lower support of $1.22 on December 14. Although, with Cardano’s scaling solution Hydra closer to release, the market once again turned its attention towards the sixth-ranked altcoin in anticipation of a 150% price appreciation similar to the one seen in July-August.
So, could ADA repeat history?
ADA price prediction- Cardano price prediction
At press time, ADA was trading close to $1.31 after gaining 5.54% daily from the lower $1.22 level. Cardano also announced the development of Hydra, a layer-2 scaling solution. This week, the Hydra team launched its second pre-release, an end-to-end Cardano integration.
Crypto Compare reported that ADA price fell 20.5% in November to $1.55, reaching $51.8 billion in market capitalization at the end of the month. However, the total monthly volumes (ADA/USD) rose 7.80% to $2.28 billion, while volatility also increased significantly from 54.4% to 72.1%.
On the 16th of November, ADA broke below its 200-day moving average, which had acted as a key resistance level over the past few months after recording three straight months of losses. It also fell below its 50-day moving average, which is typically a sign of overselling.
Positively, activity on the Cardano blockchain picked up considerably in November, with a 4x growth in daily active addresses to 216K. Moreover, the number of transactions in November increased 75.8% to 4.62 million, a monthly all-time high for the coin, while the number of addresses increased at a swift pace, with an average of 216K daily active addresses, four times larger than the previous month.
Cardano Reaching $3 anytime soon?
ADA’s Relative Strength Index finally broke away from the triple bottom downtrend after recovering from the $1.22 zone. The next major resistance for the coin was at the $1.37 mark, which could further stimulate the recovery.
Source: TradingView
So, could ADA finally repeat the July-August rally?
After July, the low $1.22 level was recently tested, and a rebound from there can pump the coin, but retail euphoria, which is key to the rally, was still lacking. According to ownership statistics, retail owners make up the largest percentage of ADA owners. Retail-backed rallies could be the key to ADA’s price pump in the short run.
Source: IntoTheBlock
That being said, while ADA’s 170% price appreciation in July-August was being expected by the market immediate recovery might not pan out the same way this time. ADA would first need to establish itself above the key SMAs to truly embark on a bullish journey.
If ADA price could break resistance at $1.37 and retrace previous key levels it could reclaim the above $2 levels soon. A visit to the $3 level in the short term, however, is unlikely especially looking at the mellowed-down retail interest.
I am currently doing my bachelors in Computer Science Engineering. My Interests are quite vast, professionally and academically I've been interested in Crypto both from finance and tech POV, I've studied and written vast materials related to Crypto-Blockchain and did my internship in Blockchain Consultancy Firm Initially as a Marketing intern and got promoted to research analyst, I research and analyse the market, the data, the technology related to Blockchain and Cryptocurrencies. I'm also a Content Writer on Newsherder.com and cmnnews.live where I write about stuff related to Blockchain technology or Cryptocurrencies as news, educational content, reviews etc.
Cardano Catalyst Project - Discover and Vote for our proposals in Fund 13 by December 12, 2024 11:00 UTC
If you are you using your ADA to vote in Cardano’s Project Catalyst don’t forget to voice your vote. We would be excited if you can see, comment, share and vote for us. Cast your vote today, find our proposals by searching "CardanoFeed" in the Voting App.Vote for Us
