Cardano (ADA) has overtaken Bitcoin as the most-held cryptocurrency on eToro during the 2nd quarter

Cardano (ADA) overtook leading cryptocurrency Bitcoin as the most held asset class on the eToro trading platform in the second quarter of this year, seeing a 51% increase from the previous quarter.


Source: eToro

Cardano (ADA) topples Bitcoin to become the most held crypto on eToro

It was a big boost for Cardano as ADA replaced BTC as the most held cryptocurrency on the eToro trading platform. Due to its limited use-case value, some believe it is only a matter of time before Bitcoin loses its crown. Are we about to see a BTC crash?

In terms of market cap dominance, Cardano currently holds only 3.2% of the market. Meanwhile, Bitcoin accounts for 44.2% of the market — 13 times larger. However, despite Cardano’s relatively small dominance, it has shown increasing strength throughout the year. On January 1, 2021, Cardano holds 0.7% of the total market capitalization.

In Q2 of this year, eToro clients increased their ADA holdings by 51% compared to the previous quarter. This is enough to dethrone Bitcoin and take the top spot as the most held crypto asset on the platform.

Bitcoin, meanwhile, saw demand for it move up 42% during the same period according to CityAM. Simon Peters, a crypto market analyst at eToro, reported the growth and use case potential for Cardano’s native ADA token attracted investors.

Cardano added the ability for developers to launch native tokens on its blockchain earlier this year after the launch of the much-anticipated Mary hard fork and is set to allow developers to build and deploy smart contracts on its network through a major upgrade called Alonzo, which will allow decentralized finance applications to be deployed on the network.

As can be seen, Peters mentioned Alonzo’s upcoming hard fork and suggested that’s why investors are flocking to Cardano. “If successful, it will bring smart contract functionality by allowing the writing and deployment of smart contracts for the first time on the Cardano blockchain”, he said. “This upgrade will be significant as it will enable developers to build projects on the network, helping Cardano to position itself as a real ‘competitor’ to the likes of Ethereum.”

In a further blow to Bitcoin dominance, Celsius CEO Alex Mashinsky said at least Ethereum has knocked Bitcoin out of its platform. Mashinsky revealed that users in Celsius currently hold more Ethereum than Bitcoin.

With both Celsius and eToro experiencing a drop in Bitcoin’s popularity, it’s clear that demand for programmable coins is starting to emerge.

In the second quarter of the year, other crypto-assets also saw their popularity explode on eToro. TRON (TRX) and Ethereum Classic (ETC) moved up 163% and 161% respectively compared to the first quarter of the year. Peters noted that investors stopped focusing solely on BTC and ETH as they can only own a fraction of these coins with their investments, and instead moved to lower-priced coins.

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