Cardano Whales On Buying Spree
Crypto Briefing | Mar 30, 2022 01:45AM ET
Cardano has seen a significant increase in the network activity, signaling rising institutional demand. On-chain data reveals that institutional players and whales have been adding significant amounts of ADA to their portfolios. Institutional interest in Cardano appears to be picking up after ADA reclaimed $1 as support.
IntoTheBlock has reported a significant increase in on-chain activity on the Cardano network. The blockchain and cryptocurrency market analysis platform affirmed that the number of large transactions with a value greater than $100,000 has risen by more than 5,000% since the beginning of the year.
A total of 69.09 billion ADA were transacted on Mar. 28 alone, representing 99% of the total on-chain volume. Such market behavior hints at institutional players’ and whales’ activity, pointing to how they may be investing and positioning themselves.
Source: IntoTheBlock
Santiment picked up on similar network activity. The behavioral analytics platform recorded a 1.7% increase in the number of whales on the Cardano network. Roughly 42 addresses holding 1,000,000 to 10,000,000 ADA were created since Mar. 21.
Such an uptick in the number of large investors behind Cardano may seem insignificant at first glance. But when considering that these whales hold between $1.2 million and $12 million in ADA, the sudden spike in buying pressure can translate into millions of dollars.
Get The News You Want
The rising interest in Cardano has helped prices reclaim the psychological $1 level as support. Now, transaction history shows that the next hurdle to overcome sits at $1.36, where more than 690,000 addresses had previously purchased over 6.41 billion ADA. Breaching this supply wall could help the so-called "Ethereum killer" surge toward $2.
It is worth noting that since whales have been increasing their holdings over the past few weeks, they have been able to build a formidable support floor at $1. Unless a black swan event happens, this demand barrier could prevent Cardano from incurring significant losses.
Original Post
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.