This week, the cryptocurrency market is revealing certain tensions, highlighting serious problems for Cardano and mixed signals from Ethereum. However, amid these changes, BlockDAG's active development stands out.
Cardano (ADA) Issues
Cardano (ADA) has dropped nearly 15% over the past week, trading around $0.54 after falling to $0.51, a low not seen since February. This trend has reportedly been influenced by geopolitical issues in the Middle East, impacting other major cryptocurrencies as well.
On-chain data shows increased selling pressure, as some dormant wallets have started moving funds to exchanges. About $17 million in long positions were wiped out, adding to the bearish tone. ADA was also rejected from its 200-day EMA and has broken below a long-term support line.
Ethereum (ETH) Sentiment
Ethereum (ETH) recently slipped 2% but garnered $274 million in inflows, indicating rising institutional interest ahead of ETF news. This represents one of the highest single-day inflow totals in weeks, positively influencing market sentiment despite a 35% year-to-date lag.
Many of these inflows are coming from Layer 2 platforms like Arbitrum and Base. This shift highlights the critical importance of scaling solutions for Ethereum. Meanwhile, stablecoin deposits increased by $29.7 million, suggesting activity in DeFi and NFTs could be rising.
BlockDAG's Activity and Innovations
The launch of the 100 million BDAG airdrop has marked a significant step in building an active community. Unlike standard campaigns, this airdrop requires users to complete tasks in four categories: Testnet, Presale, Social, and Referral. User interactions involve deploying smart contracts, using the X1 miner app, referring others, and participating in the presale.
This structure promotes engagement and helps test the system before the full launch. In Batch 29, priced at $0.0080, the project has already raised over $324 million. The planned launch price set at $0.05 suggests significant potential growth.
As Cardano faces challenges and Ethereum depends on institutional inflows, BlockDAG stands out for its steady growth and focus on user engagement. Success in the airdrop and high user involvement point to positive prospects for this project.
