Cardano has been sustaining a bullish rally for over a month now

Over the past 24 hours, the Cardano token ADA $0.37 Cardano 2.99% Market capitalization $13.22 billion VOL. 24 hours $52.71 million has experienced a notable surge, rising by 8.13%. While it may seem that this rise is related to the recent bitcoin rally, a deeper analysis covering the past few weeks suggests otherwise.

Since January 22, the ADA price has experienced a significant increase of 40%. This dynamic has shown a steady trend with higher highs and higher lows, which hints at the potential sustainability of the virtual coin. If ADA successfully retests the resistance at $ 0.641, there is potential for further growth in the cryptocurrency.

However, there are some factors that may hinder the potential growth of ADA.

An analysis of Cardano network activity by AMBCrypto showed a mixed set of signals — the number of daily users on the network has decreased, but the total number of transactions has increased.

This dichotomy suggests that while the user base may have shrunk, there is still active interaction on the network. There has also been an increase in the total blocked value of Cardano (TVL).

Despite this growth, decentralized exchange (DEX) volumes on Cardano have declined, which may indicate a change in trading preferences or market dynamics.

At the time of writing, ADA is trading at $ 0.62, which is 1% higher than yesterday. The asset’s market capitalization is $ 22.1 billion, and traders made $ 621.1 million worth of daily deals.