https://ift.tt/Gc0KnNr ($ADA) on-Chain Activity Surges as New Addresses Jump 167%

Activity on the Cardano ($ADA) network has exploded recently with the number of new daily addresses being created on the cryptocurrency’s network jumping 167% to 112,500 addresses seemingly out of the blue.

According to on-chain analyst Ali Martinez, who first pointed to the surge in on-chain activity referencing IntoTheBlock’s  Net Network growth metrics, a “sustained increase in this metric generally precedes a spike in price volatility for ADA.”

decentralized finance (DeFi) applications, which according to DeFiLlama data now have close to $130 million locked in them. SundaeSwap has been leading the pack, with close to 98% of the total value locked.

SundaeSwap is “a native, scalable decentralized exchange and automated liquidity provision protocol,” that is backed by cFund, an early-stage venture firm anchored by IOHK, Alameda Research, a quantitative crypto trading firm founded by FTX’s CEO Sam Bankman-Fried, and Double Peak Group, a family office focused on digital asset investments.

The first usable decentralized finance (DeFi) application on Cardano was launched in January and is called MuesliSwap. It currently has a total value locked of over $2.5 million. Data shows that in January large ADA token holders more than doubled their holdings in the cryptocurrency, taking advantage of a price drop of more than 30%. Data suggests Cardano addresses holdings between 10,000 and 1 million ADA have increased their holdings by 113%, accumulating $53.6 million.

Cardano developer Input Output has proposed increasing the network’s block size by 11% from 72 KB to 80 KB after network load surged above 90% with the launch of SundaeSwap.

According to CryptoCompare’s latest Asset Report, the number of Cardano hodlers has grown 10.9% in January to hit 309,000, while the number of cruisers rose 5.85% to hit 3.19 million. The number of addresses holding ADA hit a new high last month of 4.53 million.

DISCLAIMER
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.

IMAGE CREDIT
Featured image via Unsplash