Bitcoin, ethereum and cardano rise as crypto rally continues

Ada Cardano cryptocurrency, physical coin in front of an abstract background.
Cryptocurrency Cardano is currently basking in the limelight, with a 25% surge in the past seven days. Photo: Getty

The cryptocurrency market hit the ground running in 2023, shrugging off the tragedies of the previous year with some tokens posting double digit gains in the past week.

Top 10 cryptocurrencies such as ethereum (ETH-USD) and cardano (ADA-USD) have gone green this week, with bitcoin (BTC-USD) also steadily climbing since the beginning of the year.

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On Wednesday, the cryptocurrency market capitalisation was at $895bn (£738bn), a rise of around 1% in the last 24 hours, according to Coingecko.

Bitcoin was above the $17,000 mark, up 4.7% in the past week to $17,468 as of the time of writing.

Ethereum, the second largest cryptocurrency by market cap, posted gains of over 10% in the past week, to $1,336.

Read more: How crypto fell to earth in 2022: Eight charts that tell the story of a cruel crash

Memecoin dogecoin (DOGE-USD) spiked 9.5% in the past week, to $0.077.

Cardano made the most gains with a 25% surge in the past seven days to $0.316.

Cardano founder Charles Hoskinson took to Twitter to discuss the rally.

Referring to an upcoming update for the smart contract blockchain he said: "Just you wait until CIP 1694 and the MBO unlocks the community.

"Millions of people working together for growth and utility."

The Cardano "Voltaire Upgrade" will see millions of people collaborating for the growth and utility of ADA, the blockchain's native cryptocurrency, according to Hoskinson.

But the early year rally has been overshadowed by signs of ill-health in the burgeoning industry.

Coinbase (COIN) has been forced to slash its workforce and is closing the bulk of its operations in Japan as part of a move to adjust international investment amid a slump in the digital-asset sector.

The crypto market took a reputational hit in 2022 after the collapse of the FTX cryptocurrency exchange.

Read more: Crypto: Can stablecoins keep dollar peg after terra debacle?

The Bahamas-based exchange imploded in early November 2022, bringing down the once crypto-tycoon Sam Bankman-Fried.

This added to the industry's struggles after the fall of Terra's UST algorithmic stablecoin in the summer of 2022.

Terra's fall led to the collapse of several crypto firms and resulted in a slump in the sector's combined market cap, which fell by over $2tn in 2022.

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