Cardano gains 7% as it approaches EVM dominance

Cardano’s native token, ADA, has seen a significant increase in its price today, reaching a high of $0.4075, according to CoinMarketCap. This represents a more than 7% rise from its low of $0.3709 on March 30.

The token, currently ranked #7 on CoinMarketCap’s market cap list, is valued at $13.9 billion and registered a trading volume of $513,656,000 in the last 24 hours. This is the most significant trading activity registered since March 22, when it recorded more than $792 million in trading volume in one day.

ADA’s current price is also the highest since Feb. 15, when it traded at $0.4181. Many analysts suggest the coin is on the cusp of a bullish run that could see it go as high as $0.60.

Cardano gains 7% as it approaches EVM dominance - 1 — ADA price chart | Source: CoinMarketCap

New upgrade will make Cardano largest EVM chain

Several possible factors could explain this surge in ADA’s price.

One of them was announced by Milkomeda co-founder Sebastian Guillemot that his company is introducing a new functionality on Cardano that will allow users to access any Ethereum Virtual Machine (EVM) contract straight from any Cardano wallet and do so entirely within the network.

Cardano will be a top EVM chain next month

Milkomeda (Cardano’s EVM layer) is launching a feature allowing EVERY Cardano user to use EVM contracts directly from ANY Cardano wallet

All in pure ADA

This will instantly make Cardano one of the largest EVM chains by user count pic.twitter.com/fp6WwdFmF4

— Sebastien Guillemot (@SebastienGllmt) March 30, 2023

According to Guillemot, the new functionality has the potential to significantly grow Cardano’s user base, making it the largest EVM network globally.

Additionally, the sidechain protocol will launch staking rewards for all EVM users on Cardano, including smart contract developers. Guillemot also said the rewards would be paid out every five days.

Milkomeda believes this new development will make Cardano the biggest EVM-compatible network with a fully functional staking rewards scheme.

Furthermore, the new feature will reportedly allow developers to build Ethereum-based apps directly on Cardano using Solidity, the Ethereum blockchain’s programming language.

The applications can then be accessed using ADA instead of ETH, thereby enhancing the token’s utility for holders.