Aaron WoolnerCardano, the third-largest cryptocurrency measured by market capitalisation, saw its price fall by about 2% during trading today, despite the successful implementation of its highly-anticipated smart contract update.
The digital currency was priced at around $2.40 in midday Asia trading, down 1.79% over the previous 24 hours including the Alonzo smart contract update, according to data from coinmarketcap.com.
At one point of intraday trading on 12 September, Cardano was trading as low as $2.30, according to CoinTelegraph. ADA is now about 15% down over the last seven days.
Cardano goes DeFi
Cardano’s market capitalisation hit an all time-high of $95bn at the start of September. The price rise is a function of investors anticipating Cardano would receive a boost from a successful update on 12 September, according to a note from Saxo Bank’s cryptocurrency analyst Mads Eberhardt.
Yesterday’s update means Cardano can add decentralised applications (dApps) and decentralised finance (DeFi) functionality to its system.
“The update has been the main reason behind Cardano’s surge the past month sending the cryptocurrency’s market capitalization to an all-time high of $95bn at the beginning of this month. Smart contracts effectively mean developers can write protocols on the network such as decentralized trading - and lending protocols,” said Eberhardt.
Bad week for dogecoin
Decentralised coins such as Solana, weathered last week’s crypto storm better than more well-known tokens such as bitcoin and dogecoin. Solana was up over 12% over the past seven days, which includes volatility linked to El Salvador’s adoption of bitcoin.
Meme token, dogecoin, lost nearly 23% over the same period.
