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Breaking News: Binance Forms New Company In Greece, Moves Forward With MiCA Licensing

Cardano Deploys First DEX, Why ADA’ s Price Could Receive a Boost

Reynaldo Marquez
Reynaldo Marquez
Last Updated: December 6, 2021 3:27 pm
2 mins read
Picture of a Cardano coin in front of a market chart

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Cardano (ADA) follows the general trend in the crypto market and recorded moderate losses in the past weeks. As of press time, ADA trades at $1,30 with 5.1% and 18.1% losses in the daily and weekly charts respectively.

Cardano ADA ADAUSDT
ADA trends to the downside in the 4-hour chart. Source: ADAUSDT Tradingview

Cardano has been moving heavily to the downside in the past months due to rumors of potential regulatory dangers following an alleged de-listing from crypto exchange e-Toro. The rumors were denied by IOHK’s CEO Charles Hoskinson, but the market seems to have negatively reacted either way.

Related Reading | Cardano Project Flickto Surpasses 1.5 Million ADA Staked One Month After Launch

However, this network’s fundamentals continue to strengthen as it recently deployed its first decentralized exchange SundaeSwap on the Cardano testnet. This milestone was celebrated by Cardano’s community as the network implemented smart contract capabilities with three Hard Fork combinator events, part of its Alonzo era.

The team behind SundaeSwap celebrated the launch via its official Twitter handle and invited the Cardano community to use participate in the DEX’s testnet. In that way, the team can find and fix bugs related to the platform.

In order to participate, users need to complete a form. This process was already used to find a critical bug, as the team reported via Twitter:

Might have to rebrand to MondaeSwap… In all seriousness, we’ve found a bug with our scoopers renewing scooper licenses. We are cleaning that up, and as soon as it’s completed testnet will be live for use. Thank you for staying patient with us!

IOHK also celebrated the launch of SundaeSwap on the Cardano testnet calling it an opportunity to “learn a lot”. The company expects high levels of interest and participation and will it these factors as a way to “put the network under” stress to get data on its “parameter settings”. IOHK added:

(…) expect bugs in the DEX. The @sundaeswap team is encouraging you to find some. Remember this is early #DApp software, and it’s still early days for #DeFi on #Cardano. Testnets are a key part of iterating & improving the experience.

Cardano (ADA) Key Levels To Watch And Potential Bullish Case

Cardano has taken a unique approach to deploy its smart contract and DeFi capabilities. IOHK has expressed its intentions of introducing these features “gradually” to guarantee users’ security and a better experience than its competitors.

For this reason, ADA detractors claimed that the network might be taken too long to achieve this objective. However, IOHK reiterated the following:

(…) We’ve plenty of headroom for L1 growth. But we will take things slowly and carefully. And get things right. This is and will remain central to our approach.

The deployment of this first DEX adds to Cardano’s potential to resume its bullish momentum. As of press time, the cryptocurrency could see support at $1,25 and resistance at $1,40. Both these levels will be critical to determine ADA’s price destination in the short term.

Related Reading | Cardano (ADA) Set To Begin Trading On Bitstamp On Wednesday

Cardano ADA
ADA’s price (in blue) with its critical support levels (below price) and resistance (above price). Source: Material Indicators
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Reynaldo Marquez
Reynaldo Marquez

Reynaldo Marquez

A literature major, Reynaldo Márquez has been deeply immersed in the crypto industry since 2017. His journey began with translating articles for various crypto news outlets, a role he took on with zeal. In 2018, amidst a challenging market, he embraced his first writing assignment, demonstrating his unwavering commitment to the nascent industry and the promise of change it bears for many people worldwide.
In March 2021, he joined the prestigious crypto news outlet NewsBTC and Bitcoinist, where he not only reported on the latest crypto news but also had the privilege of interviewing some of the industry's most influential figures. A year later, his dedication and hard work were recognized, and he was promoted to Managing Editor, a position he currently holds with pride.
He believes in honesty, good communication, hard work, and the power of cryptocurrency and its potential to transform people's lives, especially those alienated by the legacy financial system. Born in 1992 in Venezuela, Reynaldo is familiar with how governments and central banks can negatively affect people, their everyday lives, and their futures by creating inflation and erasing their hopes for a better future. Thus, like many Venezuelans, he embraced this new technology to help him and his family navigate difficult times.
In another life, Reynaldo would have pursued a career as an investigator, most likely tracking down the origins of the Cyberpunk movement with the publication of William Gibson’s ‘Neuromancer.’ The intersection between fiction and reality, with the materialization of Bitcoin in 2009, would have allowed him to dive deep into the crypto sphere as something more than a financial phenomenon but also a cultural shift in society that was brewing since the XX century, and maybe even sooner, in the XIX century with the publication of Henry David Thoreau’s ‘Civil Disobedience.’
But that’s for another life. In this one, Reynaldo has been trading to improve his trading skills. Since 2023, he has been trying to learn Python to create successful strategies and find ways to execute them. It is a difficult task, which continues to keep him busy today and will most likely continue to keep him busy in the near and long term.
In his free time, he enjoys lifting heavy objects, reading, watching movies, and listening to his favorite music. Some of his favorite authors are Walt Whitman, William Faulkner, Allen Ginsberg, James Baldwin, Raymond Carver, Ray Bradbury, George Orwell, Mario Vargas Llosa, Reinaldo Arenas, Rafael Cadenas, and many others. Lately, he has been primarily interested in reading about dystopic societies, a topic that deeply resonates with the crypto industry.
Since 2023, he has lived in Spain with his wife. He loves the weather, the food, and the people and their culture. They both expect to travel much more within the country they now call home and beyond its border. He hopes to retire with his wife, maybe in a quiet place near a beach, but most likely in a city close to a library and a university with his kids and, hopefully, grandkids.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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