Cardano Daily Volume Surges, but ADA Price Falls

According to data from Messari, the Cardano blockchain has experienced an explosion in on-chain activity and is now second only to Bitcoin in 24-hour transaction volume and surpassing Ethereum.

With current 24-hour transaction volume of $17.04 billion, compared with $18.85 billion for Bitcoin and $5.25 billion for Ethereum, according to on-chain analytics firm Messari, Cardano ranks second in this category and is approaching the top spot.

Cardano’s transaction volume just surpassed that of LTC and ETH.

Are you bullish on ADA?

— The Moon (@TheMoonCarl) February 21, 2022

Overall, there has been tremendous activity on Cardano this month. On February 14, its 24-hour trading volume exceeded $35 billion, and on February 19 it reached $31 billion. However, that is still well below the all-time high of $138 billion set on Sept. 3 last year.

ADA Daily Trading Volume Jan. 24-Feb. 22: Messari

Cardano has seen a spike in trading volume in recent weeks, largely due to the launch of the SundaeSwap decentralized exchange (DEX). The hype surrounding the launch caused the blockchain to be congested for days with an influx of transactions.

Regardless of SundaeSwap’s impact on the network, according to Google’s Cardano Blockchain Insights, the total number of Cardano transactions has increased by 480%, from 5.5 million on March 30 last year to nearly 32 million on February 20.

With recent network activity on Bitcoin and Ethereum waning, Cardano is ripe for advancement. Bitcoin’s 24-hour trading volume is down 84% from its three-month peak of $116 billion on Nov. 25. Ethereum transaction volume has been declining since a three-month peak of $21.29 billion on Dec. 4, falling 82% to a three-month low of $3.99 billion on Feb. 19.

ETH daily trading volume from November 25 to February 22: Messari

Despite lagging behind in terms of transaction volume, Messari shows that Ethereum is still ahead of Cardano in several other key network usage metrics. For example, Ethereum has 76 million addresses, while Cardano only has 3.4 million addresses.

Cardano is listed by Morgan Stanley Wealth Management Global Investment Office as one of the four "Ethereum Killer" blockchains. Because of its lower cost and faster speed, it is expected to seize the smart contract advantage of Ethereum. Other blockchains in the report include Solana, Polkadot and Tezos.

Positive on-chain metrics haven’t helped the price of ADA, which is down 13% in the past 24 hours, according to data from CoinGecko. As of this writing, ADA is trading at $0.833, down 73% from its all-time high of $3.09 on September 2, 2021.

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