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In an interesting move, Cardano (ADA) bounced back from almost 4% in the last 24 hours, in what appears to be an uptick in activity among large ADA holders. ADA price started the week on a bearish note and spent most of the week on a downtrend. Notably, ADA price fell by around 9.5% to bottom at $0.33260. However, the crypto has rebounded and is up around 6% from that low point.
This price rebound was accompanied by significant trading volume, particularly from large holders, also known as whales. According to data from IntoTheBlock (ITB), this trading volume amounts to 17.33 billion ADA, or a value of approximately $6 billion.
Major surge in Cardano whale activity
The large transaction volume metric by DansLeBlock tracks details of transactions worth $100,000 or more. Interestingly, this metric puts the value of whale transactions at $24.18 billion over the past seven days, a notable increase from last week’s figures. A large portion of these transactions were recorded in the last three days, with movements of $6 billion on October 11 and $5.8 billion on October 10.
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The rise in whale activity appears to be closely linked to ongoing developments within the Cardano ecosystem. According to a recent report from InputOutputCardano has remained a major hub for blockchain developers, especially after recent node upgrades to v.9.2.0 and the subsequent v.9.2.1. Data from InputOutput reveals that as of the end of September, 1,376 active projects were being built on Cardano, highlighting its popularity among blockchain innovators. Additionally, in September, the number of native tokens issued increased by 80,000, while the total number of transactions on the network jumped by 1.34 million.
Will ADA price reach $0.5 or drop again?
ADA’s price action has come under scrutiny in recent weeks and investor sentiment has been more negative than usual, particularly on social media. The creator of Cardano, Charles Hoskinson, responded to this feeling on the social media platform
Hoskinson clarified that the negative outlook does not reflect any failure on Cardano’s part, emphasizing that the project continues to grow. He also took the opportunity to criticize other crypto ecosystems, noting that Cardano remains one of the few cryptocurrencies still committed to being a true decentralized currency, unlike those that align themselves with crypto giants. company like BlackRock and Wall Street.
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Despite the pessimism, the ADA price managed to maintain key support level at $0.33which offers some relief to bullish investors. Additionally, on-chain indicators such as network net growth and positive futures market momentum suggest a more optimistic outlook. The recent increase in whale activity could signal the start of a more sustained period increase for ADA price.
At the time of writing, ADA is trading at $0.354. The first target is a significant break above $0.40 before a return to $0.50.
Featured image created with Dall.E, chart from Tradingview.com
