After an influx of positive fundamental catalysts for Cardano , ADA price growth has slowed in recent days, with assets consolidating around $ 0.085. That's about a dozen percent below the local highs of $ 0.095.

While some have seen consolidation as a sign that the cryptocurrency is ready to reverse, the fundamentals of ADA and the underlying blockchain are still solid.

Cardano's bullish fundamentals on the chain: more addresses than ever have ADA

While the price of ADA has dropped considerably from the all-time high prices above $ 1.00, the cryptocurrency has seen increasing adoption in recent times.

Blockchain analytics firm IntoTheBlock reported on June 6 that more Cardano addresses hold ADA than ever before, with the metric reaching 385,080 addresses by the end of last week. This figure has grown almost constantly since the 2018 bubble, according to company data.

“ Cardano , or the so-called ' Ethereum Killer', seems clear as the transition to the Shelley protocol is fast approaching. The total number of addresses holding ADA reached its HUD on June 3, with 385.08 thousand addresses. "

A growing number of people holding a cryptocurrency suggests adoption and the fact that the coins are becoming less concentrated, leaving the whales' hands to more retail users.

This is not the only positive signal on the channel that IntoTheBlock has recorded for Cardano .

As previously reported by CryptoSlate, the company said the soaring price of ADA was likely fueled by "big investors".

The $ 7 billion cryptocurrency, more than 300% of its market capitalization, was traded by large ADA holders on May 31 alone, 1,700% more than the Eve.

In addition, three of the company's main seven metrics - net network growth, smart pricing, and imbalance in bid / demand volumes - are currently "bullish," adding to Cardano's valuation .

Three of the other four measures are "neutral" while the last, large transactions, is "bearish".

The hype surrounding Shelly is growing

The increase in Cardano's chain resistance is consistent with developments in the launch sequence for the Cardano Shelly upgrade , which is essentially its Ethereum 2.0 moment .

By launching Shelly, the blockchain will see a sharp increase in its speed, Cardano founder Charles Hoskinson saying that the network will reach a point where it can process 1000 transactions per second, essentially overshadowing any other leading decentralized network currently in use.

Over the next week, the testnet will be open to all equity pool operators, bringing Shelly closer to a full launch.