Cardano (ADA) is now the fourth largest cryptocurrency by market cap after replacing XRP. In today trading session, Cardano has performed outstanding and marked a new achievement after getting the fourth spot in the crypto markets in terms of market cap.
The decentralized finance (DeFi) has attracted billions of dollars from both retail and institutional investors. Ethereum is the largest network in hosting the highest number of DeFi projects. Due to rush of projects on the blockchain, the network is showing slow speed and charge high transaction fees. For low fees, people have started preferring alternatives of Ethereum because they are more efficient in term of speed and fees. Cardano is one of those that received an enormous attraction from investors.
Cardano has gained the 4th spot on the CoinMarketCap after surging by 25% in the previous 24-hours while the cryptocurrency is up 100% in the last seven-days.
As major altcoins have registered outstanding growth over the recent few weeks, the market specialists claim the altcoin season has arrived.
As per the history of crypto markets, the altcoin season began following Bitcoin’s bullish cycle. First Bitcoin has reached an all-time of nearly $42,000 and then Ethereum, the second-largest cryptocurrency by market cap, has also reached a high of $1,600. Following both Bitcoin and Ethereum, other large cryptocurrencies, including Cardano (ADA), have also started showing an exceptional potential.
The total value locked (TVL) in DeFi has surged to $34 billion. The TVL was standing at just $1 billion in the start of 2020 but now it is close to reach $35 billion.
Other competitors of Ethereum have also performed well over the recent few months. EOS has increased by 3.34% in the past 24-hours. Similarly, Stellar is up more than 18% over the day.
The investment in the Cardano coin will increase with the increase of money in the DeFi sector. However, some crypto analysts believe DeFi is like ICO bubble that will burst in the end due to legal attack.
Cardano network offers low cost transactions and high speed than the Ethereum network.
Tether’s market cap is standing at over $28 billion which is not a big hurdle for the coin that has a strong support from the community. If ADA continues growing in market cap, it would overturn Tether soon.