Cardano The market has collapsed with the rest, but crypto by market capitalization seems more resilient than other assets in the top 10. At the time of writing, the ADA trades at $ 1.52 with a 2.8% gain in the daily chart and 3.9% gain in the 1-hour chart. In the past one month, the ADA has also registered an impressive rally of 36.8%.
The Bitcoin crash was partly triggered by environmental concerns. Expressed by Tesla CEO Elon Musk, it appears to have influenced some investors. According to a CoinShares report, Cardano-based investment products benefited from this statement.
Last week, Cardano experienced its largest investment flow, with $ 10 million invested in response to “actively selecting proof of stake coins by investors based on environmental considerations.” Report good Claims.
Other than BTC, positive flows in altcoins were seen over the same period, but generally, asset flows have been negative for the past two weeks, as shown in the chart below.
Ethereum The outflow was estimated at $ 12.6 million after a long period with record-high inflows. According to CoinShares, in 2021, Ethereum-based investment products have totaled $ 924 million.
Cardano outperformed Bitcoin Weekly Investment Flow
Bitcoin was the most affected by negative asset outflows with 110.9 million. However, the first cryptocurrency by market cap still records $ 4,130 million in year-to-date (YTD) positive inflows, with 31,597 in assets under management (AUM).
Wave, polka dot, Litcoin and Steller also saw positive flows, but only DOT comes close to the ADA with $ 5.5 million. Cardano’s YTD ranks fifth in positive flows with $ 24 million behind Bitcoin, Ethereum, Polkadot ($ 55 million) and Ripple ($ 31 million). The report claims the following:
The digital asset investment product saw net outflows of a total of US $ 97m for the second consecutive week, another new record for outflows. (…) This represents a net change in sentiment following increased regulatory scrutiny and concerns over bitcoin’s environmental goodwill.
This suggests an increase in the sentiment of continued slowdown on the performance of the crypto market. Nevertheless, the outflow of CoinShares represents only 0.2% of their AUM. This amount is small compared to the $ 5.5 billion YTD received.
According to the NewsBTC report, Cardano was one of the most resilient assets during last week’s improvement. The debate over the environmental footprint of bitcoin extended to the benefits of a proof-of-work versus proof-of-stake consensus algorithm.
Cardano’s inventor, Charles Hawkinson, valued and highlighted the benefits of PoS. Hawkinson said that this type of consensus is more energy-efficient and is consistent with the environmental requirements expressed by Musk and others.
In a separate statement, Hawkinson informed the community about the busy schedule of the IOG for the next 3 months. The company is preparing to implement Cardano’s smart contract platform Plutus. Hawkinson said:
We will all work together to accomplish this, and I hate the delay. I hate failures, and we have done everything in our power to try to risk things … Whatever has been said, stuff can come, and managing expectations is important.