Cardano down 24 hours before the release of the ‘Alonzo’ update


On Sunday at 21:44:51 UTC Cardano (ADA) officially enters the era of smart contracts with the implementation of Alonzo hard fork, but in practice few things will change for potential users of Charles Hoskinson’s blockchain. At least in the short term.

Several decentralized applications (dApps) delayed their launch and only a few “smart toy contracts”, as the creator of Cardano himself stated in a streaming on Youtube on Wednesday, they will be live after the long-awaited hard fork has been implemented.

The testnet launched on September 2nd was target of criticism. Cardano’s first dApp, called Minswap, had to be deactivated soon after it went into operation. The exchange struggled to process multiple transactions at the same time.

As reported by the Cointelegraph, that same day, the ADA broke the resistance of $3.00 (BRL 15.90) ​​and reached its historic high of $3.10.

Since then, the general market crash on September 7th and uncertainties about the concrete results of the hard fork weighed on the currency’s price. Especially in the period before the protocol update was implemented.

At the time this text is being written, the ADA is quoted at US$ 2.59 (R$ 13.72) and registers an intraday devaluation of 5%, according to Dice of CoinMarketCap.

ADA/USDT Daily Chart moments before the scheduled time for the Alonzo update. Source: Trading View

The Cardano community is looking forward to another high rally from the hard fork Alonzo, classified by Hoskinson as “a new era for Cardano”.

However, due to the problems, Cardano’s new era begins without a truly functional application in operation. According to a report on the website Decrypt, “several decentralized exchanges said they will delay their launch until definitive solutions are found for the problems related to transactions” verified in the testing phase.

An unsuccessful launch could represent a major setback for Cardano at a time when several Ethereum competitors are on the rise, such as Solana (SOL), Avalanche (AVAX), Terra (LUNA) and Fantom (FTM), as reported the Cointelegraph recently.

Third in the overall ranking of cryptocurrencies and with a market capitalization of US$83 billion, Cardano is still one of the main references in the crypto industry. However, it is no longer the only candidate to dethrone Ethereum from the leadership of the smart contracts segment as many believed a short time ago.

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Thomas Miles

Cryptocurrency is the most recently discovered currency which will be likely at the help of modernization across the next few decades. With a limited control from the government, the crypto market is independent of many features of a sound market as we know it. Thomas brings these stories to us by weaving them into articles of general importance to all those looking at the fluctuations in the market, or new entries. Thomas is also the founder of Bulletin Bits and is an excellent leader. His leadership is the kind that makes him the most knowledgeable and experienced on the team. His wonderful work ethic and attitude are worthy of imitation!

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