As bitcoin posted its eighth consecutive outflow, smaller cryptocurrencies are gaining ground against BTC. Cardano is again in the spotlight.
Altcoins including ETH, Polkadot, solana and cardano currently represent 32% of all digital assets under management by investors.
According to CoinShares reports, Cardano saw record inflows last week as investors prepare for the ADA network upgrade.
CoinShares reported that products backed by ada saw inflows of $10.1 million worth of inflows. Cardano-based instruments now hold 0.15% of the capital locked in crypto investment products combined.
Cardano announced earlier this month that the Alonzo purple update will be taking place on September 12th. After this upgrade, ADA network will be able to handle smart contracts and other applications in a manner similar to the rival Ethereum network.
CoinShares investment strategist James Butterfill said:
“Clearly people are trying to diversify and people are taking a step further to look at other altcoins.”
Dmitry Mishunin, founder and CEO of HashEX said:
“As smart contracts enabling blockchains, the duo of cardano and ethereum have the propensity to harbor countless innovative projects. These projects, in turn, will promote the utility of the native tokens for both blockchains, driving their valuations.”
Ada’s price reached an all-time high near $3.00. It is now the third-largest cryptocurrency in terms of market capital, after ETH and Bitcoin.