Last day Cardano (ADA) rose 5,2%, with trading volume in the asset increasing 40%. The rally began after the founder Cardano Charles Hoskinson introduced the Cardinal Protocol, the first protocol Bitcoin DeFi on the blockchain Cardano.
Cardinal allows users to wrap Bitcoin-UTXO (unused transaction outputs) into assets compatible with DeFi, thanks to which it is possible to carry out lending and staking.
The key feature of the Cardinal Protocol is the Wrapped primitive UTXO, creating 1:1 pegged assets that can be moved around the network or via ordinals and then burned to release BitcoinThis ensures that assets remain secure without the need for refinancing, and the linking/unlinking processes are protected from fraud.
Cardinal integrates BitVMX for off-chain logic verification and offers many features: yield DeFi, security, auctions, lending and much more.
Despite the fact that the first Bitcoin Ordinal is not ready for use yet, it has been successfully deployed between the main Bitcoin networks and CardanoAccording to the statement, work is currently underway to improve version 1.0.
At the time of writing, ADA is trading at $0,698 with a market cap of $24,62 billion. On the daily chart, the RSI is just below the neutral 50 line, indicating weak momentum, but still has potential for growth if the bulls gain strength.
Bollinger Bands are narrowing, signaling an imminent break above the midline, which could lead to the cryptocurrency testing the $0,77 resistance level. According to popular crypto analyst Ali Martinez, ADA could confirm a massive rally if it closes above this resistance level.
Hoskinson Just Dropped BOMB: $1 ADA Catalyst
The course Cardano is also rising following the growing Bitcoin, the price of which today consolidated above the $109,000 level.
