Cardano’s ADA Soars to 2.5-Year Peak of 90 Cents amid $12B Whale Surge

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As a seasoned crypto investor with over a decade of experience under my belt, I must admit that witnessing Cardano’s ADA surge to its highest level in two and a half years is nothing short of exhilarating. The consistent upward trajectory, driven by substantial buying from whales and increased institutional interest, paints an optimistic picture for the future of this digital asset.

On Friday, Cardano‘s ADA token saw a significant rise, reaching an impressive high of 90 cents – a level not seen for nearly two and a half years. This upward trend coincides with Bitcoin‘s steady progress towards the $100,000 mark, having already surpassed $99,000 earlier in the day. As Bitcoin garners increased attention, there’s been a noticeable shift towards altcoins, resulting in heightened overall market activity.

Source: CoinMarketCap

In just one day, the price of ADA surged by 11.46%, reaching its highest point since last May. This increase is part of a steady upward trend, with the token gaining 40% over the past week. The month-to-date growth has been remarkable, with an impressive 141% rise. This surge in value has boosted ADA’s market capitalization to $30.26 billion, making it the ninth largest digital asset worldwide.

Whales Accumulate $12B in ADA, Transactions Up 300%

A significant contributor to ADA’s recent increase is heavy purchasing by whales – investors who own more than $10 million worth of ADA. As reported by Tagus Capital, these big players now hold over $12 billion in ADA, demonstrating a strong belief in Cardano’s future prospects. Moreover, data from IntoTheBlock reveals a 300% increase in large ADA transactions during the last fortnight.

This increase in activity suggests that institutional investors are becoming increasingly interested. According to Tagus Capital, some of this energy is fueled by a change in investor sentiment, which they find encouraging.

Part of the current movement surrounding Cardano may be rooted in public sentiment, as mentioned before. Notably, its founder, Charles Hoskinson, has suggested possibilities of working with the Trump administration to establish policies that are favorable towards cryptocurrencies.

Based on Cardano’s technical progression, there seems to be an optimistic perspective. Lately, ADA has broken through a significant resistance point at approximately $0.77, ending the day with a bullish hammer candlestick above this value. Financial experts propose that if it manages to exceed its recent daily high, it could potentially trigger a 20% growth, propelling the price closer to the $1 goal.

Before this price increase, ADA went through a five-day period of holding steady, which many traders view as a bullish sign. Historically, such periods have typically led to significant increases, and the current market mood indicates that ADA could follow suit. This optimistic trend is supported by increasing interest from both traders and investors, showing broad support for ADA’s continued rise.

ADA Sees 5.76% Open Interest Spike

Apart from whale investments, ADA is seeing increased activity among traders. According to CoinGlass, an analytics firm that tracks on-chain data, ADA’s open interest has grown by 5.76% over the past day and by 3.15% within the last hour. This surge in open interest implies active trader participation, contributing to the current price surge. This trend hints at a promising buying opportunity, as many investors expect further growth in the near future.

Source: CoinGlass

Despite the increase in costs, it appears that the number of trades has dropped by 30%. This seems to indicate a move towards bigger, more strategic investments instead of frequent trades. When trading volume drops but prices rise, this usually points to a robust underlying demand and the possibility of additional growth in value.

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2024-11-22 14:43