|

ADA price might dive after delay in Cardano's Alonzo hardfork

  • Cardano announces a delay in the Alonzo hardfork in their latest development update. 
  • ADA price is likely to suffer the impact of the delay since earlier this month founder Charles Hoskinson slammed critics for their uncertainty on Cardano's smart contract rollout. 
  • Smart contract launch date is set to be pushed further in September due to the latest announcement. 

Cardano's latest updates may negatively impact the "Ethereum killer's" price rally. 

Alonzo hardfork delayed, development team pushes the event to September

Following several announcements from founder Charles Hoskinson on Twitter, the Cardano community developed a bullish outlook on the altcoin's price in the last two weeks. The recent update from Cardano is likely to reverse the trend since the Alonzo hardfork is delayed. ADA's developers have announced that the hardfork event is expected to go live on September 12, 2021. 

In a YouTube video outlining the progress of the Alonzo smart contracts rollout, Nigel Hemsley, Head of Delivery at Cardano, shared the internal and external team's milestones. Hemsley said, 

Outside of the actual teams, we've got our partners that continue to make progress on their dapps, and they're working towards the point where we can give them a Plutus application back-end so that they can finish it off and have a fully integrated dapp on our network.

Cardano's team has beenworking on the Plutus since April 12. Plutus is a platform that provides native smart contract language for the Cardano blockchain. The dev team is developing "Plutus core," which is the on-chain part of Plutus, as well as the "Plutus Application Framework" (PAF), also known as the off-chain part that enables interaction with smart contracts. 

There are internal (Cardano devs) and external teams (Decentralized application developers and exchanges) waiting for the smart contract rollout and currently testing the capability of the testnet based on the practice exercises that the dev team has shared.

Cardano's developers are working on the different components of the hardfork: the testnet will be forked first, on September 1, followed by the mainnet on September 12. 

Cardano is currently nurturing partnerships with 140 exchanges and over 300 pioneers in the community. Therefore, the delayed hardfork is likely to have an impact on Cardano's partners and ADA price. 

Analysts predict that the price is likely to retrace before rallying further.

Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

More from Ekta Mourya
Share:

Editor's Picks

Uniswap Price Forecast: UNI tests 200-day EMA supply amid renewed retail demand
Uniswap (UNI) edges higher near an immediate resistance at $3.88 on Tuesday. The native decentralized exchange (DEX) token is defying a broader correction in the cryptocurrency market, even as Bitcoin (BTC) falls toward $63,000 from its July highs around $67,000.
XRP slides amid risk-averse pressure and ahead of Fed rate decision
Ripple (XRP) continues to trade under increasing pressure on Tuesday. This marks the second consecutive day of declines, reflecting broader risk-off sentiment as investors appear to shift gears in anticipation of the Federal Reserve (Fed) interest rate decision. On Wednesday, the Federal Open Market Committee (FOMC) is widely expected to leave interest rates unchanged in the 3.50%-3.75% range.
Crypto Today: Bitcoin, Ethereum, XRP remain under pressure as risk-off sentiment persists
Bitcoin (BTC) is falling toward the immediate $63,000 support at the time of writing on Tuesday, weighed down by continued risk-off sentiment. Altcoins, including Ethereum (ETH) and Ripple (XRP), remain under pressure, trading below $1,900 and $1.10, respectively. Crypto market sentiment remains largely unresponsive and in the Fear territory, as reflected in the Fear & Greed Index.
Bitcoin price prediction: Is $60K back in focus as headwinds mount?
Bitcoin is falling towards 63k, at a 10-day low, as a sell-off in AI-linked stocks has hit risk sentiment, spilling over into cryptocurrencies and as investors look cautiously ahead to tomorrow's FOMC rate decision. Bitcoin is down 2.7% over the past 24 hours and more than 4% over the past seven days as it extends its pullback from 67k the July high reached last week.
Bitcoin: BTC holds firm, but the $100 Oil threat could change the game
Bitcoin (BTC) is modestly recovering, trading at $65,400 on Friday and holding firmly above the key support zone. US-listed spot Bitcoin Exchange Traded Funds (ETFs) supported BTC’s modest recovery as they continued to attract institutional inflows through Thursday, pointing to the third consecutive week of inflows.