Cardano has been evolving, with the Alonzo upgrade which went live earlier this month. We saw a run higher during August in particular, after it surged from around $1 to above $3 in anticipation of the new release/upgrade. But September has been mainly bearish for this cryptocurrency, mainly coming from the dovish sentiment in the crypto market, because, from a fundamental perspective, ADA has every reason to rally higher.

Cardano Fundamental Analysis – Alonzo Hard Fork On

The Cardano blockchain network has listed more than 200 smart contracts after the Alonzo upgrade last week. Vercel App, which is a third party, puts the number at 2,200 smart contracts, which are getting ready to be launched.

Cardano ADA Coin Live Chart

Smart contracts have been a market favourite regarding Cardano, and developers have been anticipating this feature on Cardano since the start in 2017. The recent Alonzo hard fork makes them functional. Charles Hoskinson, who is the founder of Cardano and IOHK, said “The way we constructed Cardano was for that second wave.” The second wave comes with the Alonzo upgrade.

He added that the long-anticipated upgrade will bring “programmability” to the blockchain too, in the form of liquidity, interoperability, the ability to move across the multi-chain networks and cost predictability. But there is a catch here, because these contracts are in timelock and cannot be used by developers until they’re released properly.

Cardano Technical Analysis – ADA/USD Bounces Off the 100 SMA

The 100 SMA holding as support for now

As we said above, Cardano has been bearish in September, with the sentiment turning dovish in the crypto market this month, despite the much-awaited hard fork. Cardano reversed down from a high of $3.10 at the beginning of the month, and has been sliding lower since then.

The 50 SMA (yellow) provided support for some time but it was eventually broken on the second bearish leg in the crypto market this week, and the price fell to $1.92, according to most crypto brokers. However, the 100 SMA held as support today and the price has bounced around $0.20 higher.

But, it all comes back to the crypto market now. If the sentiment improves, ADA/USD has every reason to rally higher above this month’s high, otherwise it will probably follow the crypto market lower. We are preparing to open a long-term buy ADA signal here, since this dip looks like a great place to get in on the long side after the Alonzo release.