In the world of cryptocurrency, Cardano (ADA) has been making waves lately, especially in terms of transaction volume. It has been observed that Cardano is now in competition with Ethereum in terms of large transaction volume. This is a significant development for the ADA ecosystem, as it indicates a surge in accumulation among the token’s large holders. Data from the market intelligence platform IntoTheBlock shows that in the past 24 hours, Cardano recorded a transaction volume of $6.7 billion, closely followed by Ethereum with $6.71 billion. This indicates that Cardano whales have been actively increasing their positions in the market, especially during a dip, in anticipation of a potential price rally for ADA.
The recent surge in whale activity within the Cardano ecosystem presents a bullish outlook for the cryptocurrency. These large holders have the potential to influence market prices significantly, and their increased purchases could potentially lead to a substantial surge in ADA’s price. This surge would be especially beneficial for Cardano, which has been underperforming since the beginning of the year, with a year-to-date loss of over 35%. Additionally, Cardano is among the most shorted altcoins in the market, further adding to its less than impressive price action. However, according to Santiment, the heavy shorting of Cardano could actually work in favor of the cryptocurrency, as it increases the likelihood of liquidations leading to price spikes. These liquidations could serve as “rocket fuel” for a potential price rally for Cardano, potentially turning its fortunes around.
Despite the lackluster performance of Cardano in terms of price, there have been several bullish developments in its ecosystem this year. One key development was the news that the US Securities and Exchange Commission (SEC) no longer considers ADA a security, following amendments to its complaint against Binance. Furthermore, the Chang Hard Fork is currently underway as Cardano prepares to transition to the Voltaire era, introducing its most advanced governance system. It is worth noting that despite these developments, ADA’s price did not experience a significant rally. Even the release of the node validator software version 9.1.0, which incorporates the Chang Hard Fork, did not result in a substantial price movement for ADA.
As Cardano whales continue to increase their positions in the market, there is a growing anticipation of a potential price rally for ADA. The influence of these large holders on market prices cannot be understated, and their activities could potentially lead to a significant surge in ADA’s price. This surge would not only provide a much-needed boost for Cardano but also mark a turnaround for the cryptocurrency, which has struggled to gain momentum in recent months. With ongoing developments in the Cardano ecosystem and the increasing activity of whales, the future looks promising for ADA. It remains to be seen whether these recent market trends will translate into a sustained price rally for Cardano.