Cardano records strong development activity despite ADA price not reflecting accordingly.
While Ethereum has been getting a lot of attention for its major updates, Cardano has been quietly improving its ecosystem with a significant increase in on-chain activity and developer participation. This could be the premise for ADA to break out over ETH in the long term.
MAIN CONTENT
Cardano's development activity ranks top 4, outperforming Ethereum which ranks 13th.
The falling ADA/ETH ratio reflects Cardano's weakness against Ethereum in the short term.
The increase in daily active addresses and project development shows Cardano's long-term growth potential.
How are Cardano and Ethereum performing in the market?
TradingView data shows that ADA has an intraday gain of 7%, surpassing ETH’s 5% in a recent trading session. However, the longer-term cycle shows that the ADA/ETH ratio has been steadily declining since late April, returning to pre-election lows, reflecting Cardano’s weakness.
Ethereum returned 36% in Q2, while Cardano dropped 13%, creating a large gap on the price chart.
Cardano has yet to make a major breakthrough like Ethereum with the Pectra upgrade, but the project's development and On-chain activity is steadily increasing.
Dr. Maria Thompson, Blockchain Analyst, 7/2025
What is the reason why Cardano has not broken out compared to Ethereum?
The ADA/ETH ratio is an important measure of the money flowing between the two ecosystems. In November last year, ADA had increased sharply by 286% compared to Ethereum's 68%, showing that the money flow was leaning towards Cardano. However, currently, this ratio has decreased, leading to a slowdown in ADA's price momentum.
This reflects that Ethereum is taking the leading role in the Layer-1 cryptocurrency market by achieving outstanding achievements and attracting a lot of institutional investment capital.
What is Cardano focusing on to compete in the long term?
Data from Santiment in 2025 shows that Cardano ranks 4th in development activity on GitHub, far ahead of Ethereum at 13th. This shows that ADA focuses on protocol perfection, scalability, and on-chain applications, rather than chasing short-term pumps.
Meanwhile, the number of daily active addresses on Cardano increased by 24.6% over the past week, while Ethereum decreased by 14% to 453,000 addresses, creating signs of increasing fundamental strength in the ADA network.
“The real success of a cryptocurrency network lies in building a sustainable ecosystem that is capable of solving real problems, not just short-term price fluctuations.”
John Carver, CEO Minswap, 6/2025
What is the impact of this development on ADA's position against ETH?
If Cardano’s growth trend continues and the ADA/ETH ratio shows signs of stabilization or recovery, ADA could potentially take advantage of the stable development platform to regain market capitalization share from Ethereum. This would be a reasonable scenario based on the reversal of capital allocation between the two major cryptocurrencies.
Frequently Asked Questions
What advantages does Cardano have over Ethereum in the long term? Cardano prioritizes protocol development, scalability, and sustainable applications, attracting top developers, unlike Ethereum which focuses on breakthrough updates. What does the ADA/ETH ratio reflect? This is a measure of capital flow between the two networks, showing the relative strength and market position of Cardano compared to Ethereum. What does the number of daily active addresses say? This number reflects actual interest and usage on the network, the growth of active addresses shows the vitality and growth potential of the project. Is Cardano competing effectively with Ethereum? Currently, Cardano has not surpassed Ethereum in market value, but the growth in development and on-chain activities shows the potential for future competition. What factors help Cardano maintain stability? Focusing on technical innovation, security, scalability, and developing the developer community is the foundation for Cardano to maintain long-term strength.
Source: https://tintucbitcoin.com/cardano-ada-va-ethereum-chuan-bi-hoi-recovery/
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