Can Cardano resist downward pressure as EVM sidechain is set for launch?
- Cardano’s IOHK announced the release of the Ethereum Virtual Machine (EVM) alpha.
- The permissionless sidechain will let developers write Solidity smart contracts on top of Cardano.
- Cardano is up 13% in value within the last 24 hours, with an increase in trading volume by 41%.
Cardano ADA/USD is a blockchain platform that serves the role of being a decentralized application (dApp) platform where developers can utilize its multi-asset ledger and verifiable smart contract to achieve specific goals.
Cardano has a native cryptocurrency known as ADA that can be used to store value or for the process of sending or receiving funds.
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The Ethereum Virtual Machine (EVM) alpha launch as a catalyst for growth
The development company behind the Cardano blockchain, Input Output, made an announcement on June 12, 2022, where they said that they are releasing the Ethereum Virtual Machine (EVM) sidechain alpha.
This will now enable developers to bring their existing Solidity-based applications to Cardano or create new ones through the usage of the programming language.
Furthermore, this EVM sidechain is fully compatible with Ethereum upgrades and tools, Web3 wallets, and the use of the Proof-of-Stake Ouroboros Byzantine Fault Tolerance consensus protocol.
They can essentially inherit the security from Cardano’s main chain.
On May 23, 2022, we also covered another sidechain within the Cardano network, known as the Milkomeda sidechain.
With all of these updates and developments surrounding the Cardano network, we see a higher level of utility for the ADA coin, which could lead to an increase in its overall value.
Should you buy Cardano (ADA)?
On June 14, 2022, Cardano (ADA) had a value of $0.5047.
When we go over the performance of the cryptocurrency, we can see that its all-time high was on September 2, 2021, when the Cardano (ADA) cryptocurrency reached a value of $3.09.
Looking over its performance throughout the previous month, we can see that Cardano (ADA) had its highest point of value on May 5 at $0.8969, while its lowest point was on May 12 at $0.407.
This gives us an indication that the cryptocurrency decreased in value by $0.4899 or by 54%.
However, since then, the coin has increased in value by $0.0977 or by 24%. With this in mind, we can expect ADA to reach a value of $0.9 by the end of June, making it a solid coin to buy.
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