Despite the lethargic price movement in the market since the beginning of the year, Cardano (ADA) whales have continued to showcase optimism on the future prospect of ADA price.
Cardano (ADA) Whales Buying the Dip
As recently reported by the crypto analytics platform Santiment, Cardano whale addresses holding between 1 million and 10 million ADA have been on an accumulation spree over the past five weeks despite its price hovering around 15-month low levels. In total, this group of Cardano whales has accumulated relatively 200 million ADA within the aforementioned period.
Read Also: Cardano Is Increasing Block Size By 10% to Boost Transaction Speed and Dapp Performance
Santiment tweeted, “Cardano whale addresses holding 1M to 10M ADA are accumulating their bags these past 5 weeks (196M more ADA) after a 7-month stretch of dumping (-1.7M less ADA). The 9th largest market cap asset recently hit prices last this low in February, 2021.”
🐳📈 #Cardano whale addresses holding 1M to 10M $ADA are accumulating their bags these past 5 weeks (196M more $ADA) after a 7-month stretch of dumping (-1.7M less $ADA). The 9th largest market cap asset recently hit prices last this low in February, 2021. https://t.co/co8BcqHJAF pic.twitter.com/OXpbu3KSXp
— Santiment (@santimentfeed) May 3, 2022
The change in whale sentiment comes after months of dumping ADA tokens which drove the price of the 9th largest cryptocurrency down by 75% since its peak in September 2021 to a February low. A spike in buying pressure could essentially mean that the whales are eyeing potential recovery in the near term. This demand barrier could act as a formidable support floor at $0.8.
Read Also: Cloud Computing Platform iagon Officially Announces Migration to Cardano from Ethereum Network
Cardano picked up significant network activity in the first quarter of the year. Large transaction volume (LTV) on the blockchain suggested a rise in institutional demand.
Since the beginning of the year, the LTV rose from 1.35 billion ADA per day to 69 billion ADA, changing hands on Cardano, more than a 50x increase in just three months.
This was revealed by yet another prominent analytic platform, IntoTheBlock. In fact, a 216% hike in transaction volume was seen in the past year. Howbeit, the latest data compiled by ITB depicts that the metric has slumped since April.
Follow us on Twitter, Facebook, Telegram, and Google News
