Will Cardano be able to establish itself as “the new Bitcoin”?
Retail investors are rushing to Cardano and IOTA, while Bitcoin and Ethereum are losing their appeal.
This was revealed in the last eToro report for February.
Surprisingly, the report reveals that Bitcoin remains the most purchased cryptocurrency in the world, but demand has dropped 24%.
February was certainly a very unusual month for Bitcoin, where volatility may have discouraged purchases. In fact, the price has reached a record $ 58,000 and then a “drop” to $ 44,000 before recovering and returning close to $ 50,000.
Altcoin queen Ethereum also saw a drop in demand at eToro, down 12%. Like Bitcoin, February was volatile for Ethereum, with the price dropping from $ 2,000 to $ 1,300 and then back to the current $ 1,600.
Analyst Simon Peters commented:
“February was another busy month for Bitcoin and Ethereum. Both have seen prices soar since the beginning of the year, but although there has been volatility, the broader adoption story continues to drive both cryptoassets. ”
Retail investors look for Cardano and IOTA
At eToro, the second most traded cryptocurrency in February, behind Bitcoin, was Cardano (ADA), which grew + 157% over the previous month.
Cardano’s “appeal” was influenced not only by its price, which reached US $ 1.4536 (on eToro), but also by the Mary Hard Fork, which added important new features to the blockchain.
In addition, eToro is one of the few platforms that allow ADA staking and this may have contributed to its popularity.
IOTA also did very well, up 265% since January. MIOTA is also affected by the news announced by its co-founder Dominik Schiener: the launch of the framework for digital assets, better known as the Chrysalis update, is on the right track. This will allow faster and more efficient transactions on the platform. This news may have boosted demand for IOTA.
Some other cryptocurrencies saw their demand grow in February, in particular, Binance Coin (+ 1,047%), Tron (+ 174%) and Dash (+ 125%).
Simon Peters elaborates:
“The market is evolving. Instead of focusing only on Bitcoin and Ethereum, where many investors can own only a fraction of a currency, we have been seeing an increasing demand for currencies with Cardano and IOTA for a few years.
Investors are looking for the next Bitcoin, which means they are investing in cheaper tokens like ADA, IOTA and Tron, all priced at around $ 1 ”.
Is the next Bitcoin on the way? Simon Peters replies:
“We believe that this year may see that search for the‘ next Bitcoin ’intensify, as the market expands and other currencies gain their own followers.
With more and more cases of cryptocurrency adoption in the real world, there remains a question of when, and if not, these assets will become more widely used in our daily lives. We expect volatility to continue, as with all emerging assets, as the cryptocurrency journey is still in its infancy. ”