Cardano (ADA), the largest PoS Blockchain in the market, will start implementing a major update in February. With the announcement, altcoin managed to attract the attention of developers again.
Altcoin market awaits new Cardano update
Cardano (ADA) vice president Tim Harrison hinted at an upcoming major release via a tweet on Jan. The release will impact Cardano’s cryptographic primitives and facilitate the implementation of cross-chain initiatives.
You've got a date💘 #Cardanohttps://t.co/nyOGo3jtGa
— Tim Harrison (@timbharrison) January 19, 2023
These features will be realized by integrating common digital signature norms into the Plutus smart contract platform. According to the official version, the upgrade will further aid interoperability and pave the way for the creation of decentralized cross-chain applications.
Important dates
The update is scheduled to launch on the testnet on February 11. The mainnet will be subject to an update on February 14. From then on, Plutus’ smart contract developers will have access to a wide variety of multiple and threshold signature designs that provide maximum protection.
Update has started to take effect on Cardano network activity
According to data from Cardano Blockchain insight, the number of smart contracts executed in the Plutus script has so far exceeded 4,800 daily. Also, Total Value of Locked (TVL) on the network was approximately $69 million as of this writing, according to data from DefiLlama.
However, TVL has clearly gone downhill. Regardless, if more dApps and smart contracts are launched due to the planned update, it could change the game for Cardano.
Cardano still undervalued
According to Santiment, despite the positive updates, Cardano remains undervalued with the current price action. ADA has a Z-score of -1.05 as of this writing, based on Market Value to Realized Value (MVRV). This shows that ADA could be profitable for its investors if it is bought right now.
But ADA’s 30-day MVRV revealed that investors held the asset at a higher value during this time. At the time of writing, the MVRV metric was over 12%.
ADA price flattens out despite altcoin market momentum
ADA’s daily chart revealed that it is under selling pressure despite being in an uptrend. cryptocoin.comAs you follow, ADA was trading at around $0.37 at the time of writing and price action was stable.
However, the Relative Strength Index (RSI) showed that ADA is still in an uptrend despite the current steady price action. The RSI line was above 60 and was showing a pretty strong uptrend. The bullish sentiment was also evident in the Moving Average Convergence Divergence (MACD), which is above zero.
Greater adoption of DApps could have a positive impact on ADA as its utility grows. How everything will ultimately unfold, however, remains to be determined.
