- The Cardano development team led by Co-founder Charles Hoskinson has been developing the Hydra and Mithril project to effectively compete with other layer-one chains like Ethereum and Solana.
- The notable Cardano network development has helped its TVL grow exponentially and the ADA bullish outlook is more inevitable despite the ongoing market correction.
Cardano (ADA) network, a well-time-tested proof-of-stake (POS) layer one blockchain with more than $342 million in Total Value Locked (TVL), has gradually been improving its underlying technology to accommodate more developers and investors in its web3 ecosystem.
Furthermore, the Cardano network has gained global recognition as a major Ethereum competitor with deep liquidity backed by reputable crypto venture capitals. Additionally, the Cardano network has been enabling the tokenization of real-world assets (RWA) through its high scalability and reputable security.
Meanwhile, Cardano’s core development team has promised to deliver several important projects that intend to make the layer one blockchain more scalable and usable for the web3 industry, thus obtaining higher competitiveness.
Updates on Cardano Scaling Solution Developments
Over the past several months, the Cardano network has been developing the necessary layer two (L2) infrastructure to ensure scaling solutions are in place before the onset of the next macro bull cycle. According to Cardano’s co-founder Charles Hoskinson, the core development team is adding BLS support to Plutus V3 alongside the Hydra and Mithril scaling projects in a bid to ensure the future competitiveness of the underlying ADA-focused decentralized applications (Dapps).
Notably, Hoskinson applauded Cardano’s core development team for helping the network evolve to provide rich business and technical requirements. Furthermore, the Cardano network is competing for the same global market with other top-tier blockchains like Ethereum, BSC, Tron, and Solana among others.
Having been around for more than ten years, I have seen this narrative thrice. It follows the halving.
Every L2 venture will learn that it\'s impossible because Bitcoin cannot change enough to support the things required for a vibrant L2 environment. Both Ethereum and Cardano… https://t.co/56jbfCax4U
— Charles Hoskinson (@IOHK_Charles) February 4, 2024
In the latest Cardano’s weekly development update on February 2, by Olga Hryniuk, the Hydra team made several changes after reviewing the underlying network. On the top list, the Hydra team introduced a breaking API change geared towards eliminating the JSON encoding of transactions, completed implementing off-chain logic for incremental decommits, and implemented a Hydra explorer backend. Similarly, the Mithril team implemented several changes including a new data type for certifying Cardano transactions within the Mithril networks, among others.
ADA Price Action
Cardano (ADA) price has been on a gradual recovery journey since the beginning of January 2023 and currently is attempting to enter the second phase of the initial bull rally. After experiencing a significant resistance level of around 69 cents, which coincided with the 200 weekly Moving Average (MA), the ADA price has been trapped in the correction phase.
Notably, the ADA price on the weekly time frame has found a robust support level around the 1.618 Auto Fib Extension. A successful rebound from the current support level will see ADA price comfortably reach above 80 cents in the coming months, which also coincides with the 3.618 Auto Fib Extension.
Furthermore, the Elliott Wave Principle on the weekly time frame shows ADA price has more upside in the near term after completing wave 1 and wave 2, thus leaving space for wave three, a correction, and wave five. Meanwhile, ADA price gained about 2.6 percent in the past seven days to trade at