ADA's Struggles Highlight Crypto's Shifting Power Dynamics

Cardano's native token, ADA, has been under pressure in recent months, with its price hovering near multi-month lows and facing skepticism about the platform's long-term viability. The Cardano ecosystem, despite ongoing development efforts and ambitious upgrades such as the Leios and Hydra projects, has struggled to gain traction in the DeFi and dApp spaces. In contrast, Layer Brett, a newly launched Ethereum Layer 2 meme coin, has generated significant momentum, with many analysts and traders positioning it as a potential breakout asset in the fourth quarter of 2025. This contrast has led to speculation about ADA's possible decline below $0.50, especially if the Cardano project fails to reposition itself effectively in the evolving crypto landscape.

Cardano founder Charles Hoskinson has acknowledged the platform's challenges, including a lack of a clear narrative and slow progress on key initiatives. Recent developments include the launch of a 24/7 development model to accelerate the Leios upgrade, aimed at improving scalability and transaction throughput. Hoskinson has emphasized the urgency of this upgrade, calling it the most critical program for Cardano's future. Under the new development approach, teams in different time zones are working around the clock to ensure continuous progress. However, despite these efforts, the broader market has not yet responded positively to Cardano's initiatives, with total value locked (TVL) on the network remaining at approximately $380 million, far below the $97 billion on Ethereum and $11 billion on Solana [3].

The current struggles of ADA are evident in on-chain metrics. Open interest for ADA has significantly declined compared to Solana and Ethereum, signaling limited institutional participation and investor confidence. Additionally, ADA's market dominance remains low, with fewer than 60 dApps operating on the network in 2025, a far cry from the ambitious forecasts made in 2022. Critics, including former BitMEX co-founder Arthur Hayes, have been vocal in their skepticism, questioning the relevance of Cardano's ecosystem in the broader DeFi landscape. Hayes has pointed out that none of the world’s most popular decentralized apps have originated on Cardano, further underscoring the platform’s challenges in competing with more established and scalable blockchains [8].

Layer Brett, in contrast, has captured the attention of both retail and institutional investors with its viral growth and Ethereum-based infrastructure. As an Ethereum Layer 2 solution, Layer Brett offers fast transactions, low fees, and high staking rewards, positioning it as a viable alternative to traditional meme coins like Dogecoin and Pepe Coin. The presale for Layer Brett has already raised over $3 million in funding, with analysts highlighting its potential to deliver 50x to 100x returns. The token’s low price point and strong community engagement have contributed to its rapid adoption, making it a favorite among traders looking for speculative gains [3]. Layer Brett’s rise has also been fueled by broader trends in the crypto market, particularly the shift toward infrastructure-backed projects that align with Ethereum’s ecosystem.

The growing interest in Layer Brett has further shifted market sentiment away from ADA and other traditional altcoins. With Dogecoin’s price rangebound and Pepe Coin losing steam, investors are increasingly rotating their capital into projects with stronger fundamentals and growth potential. Layer Brett’s integration of meme culture with Ethereum-based scalability has created a compelling narrative that resonates with both seasoned investors and newcomers to the space. Additionally, the token’s transparent tokenomics and fixed supply of 10 billion tokens have added to its appeal, making it an attractive option for those seeking asymmetric upside in the volatile crypto market [4].

As ADA continues to struggle with identity and adoption challenges, the market is looking for new narratives to drive growth. Layer Brett’s emergence as a potential breakout asset highlights the dynamic nature of the crypto industry, where innovation and community engagement can rapidly shift investor sentiment. While ADA's future remains uncertain, the broader market is showing a preference for projects that offer both utility and scalability. Cardano’s ability to regain relevance will depend on its capacity to deliver on its promises and attract developers and users to its ecosystem. In the meantime, the rise of Layer Brett and other Ethereum-based projects suggests that the next wave of crypto innovation is already in motion [5].

Source:

[1] title1 (https://cryptopotato.com/xrp-or-ada-ai-predicts-the-bigger-winner-for-2025-price-gains-conclusion-will-surprise-you/)

[2] title2 (https://thecryptobasic.com/2025/09/08/cardano-founder-announces-new-24-7-development-model-to-accelerate-leios-progress/)

[3] title3 (https://www.mitrade.com/insights/news/live-news/article-3-1105848-20250909)

[4] title4 (https://coincentral.com/dogecoin-price-prediction-why-new-crypto-investors-are-betting-big-on-layer-brett-in-september/)

[5] title5 (https://www.digitaljournal.com/pr/news/indnewswire/btc-price-eyes-125-000-layer-1638238116.html)

[6] title6 (https://www.tokenmetrics.com/blog/cardano-vs-ethereum)

[7] title7 (https://www.coingecko.com/en/coins/cardano/eth)

[8] title8 (https://finance.yahoo.com/news/now-cardano-dead-next-big-034009482.html)