- Cardano price remained in a narrow range this week.
- A top NFT marketplace in the network announced its closure.
- NFT sales on the network have been in a downtrend.
Cardano price has gone sideways since February this year, and the situation may get worse as a top player in its ecosystem shuts down after six years. ADA token was trading at $0.2477 on Thursday, inside the narrow range it has remained for nearly three months.
In a statement, JPG Store, a top player in the Cardano ecosystem, announced that it would shut down on May 23rd. The closure will also include Comet, its sister brand.
The statement noted that the website will shut down on that date, while the smart contracts will live on. Also, the NFTs on self-custody wallets and on the JPG Store contract will remain the same.
The announcement came at a time when demand for NFTs had dried up in the past few months. Data shows that NFT sales over the last 24 hours totaled just $7.2 million, with the number of buyers falling to 20,320.
NFT sales on Cardano have all plunged in the past few months. Sales totaled $12,000 over the last 24 hours, with fewer than 30 buyers.
READ MORE: IREN Stock Analysis: Bullish Outlook as Key Risks Remain
Cardano’s NFT sales have always been fewer than those of other popular chains like Ethereum and Solana. For example, data shows that its sales stood at just $1.8 million in the last 30 days, much lower than Ethereum’s $58 million
Historically, its NFT sales have totalled $694 million, much lower than Ethereum’s $44 billion.
Sadly, Cardano is not doing well in other areas, especially in decentralized finance and the real-world asset tokenization industry. Data compiled by RWA shows no asset has been tokenized on Cardano. Also, the total value locked in its DeFi industry has dropped to $130 million.
As a result, more DeFi protocols on Cardano may shut down soon. Also, there are concerns that the planned updates will not increase activity on the network.
For example, data shows that the recent Midnight mainnet launch has not led to more activity in the chain. The same is true with the recent addition of USDCx and Pyth Network.
The upcoming Leios network may also not bring significant activity in the near term, as it will be hard for Cardano to attract more users and developers.
READ MORE: Coinbase Stock Pays No Dividend: Is the 72% Yielding CONY a Better Buy?
