Cardano Whales Go on Buying Spree as Update makes it layer 2

• Cardano (ADA) whales are actively purchasing the asset as they expect a price recovery following the recently launched Hydra upgrade.

• Analysts expect the price to go as high as $0.6 by the end of the year. 

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Cardano (ADA) is currently in a bearish mode as a mini pullback hits the entire crypto ecosystem. ADA has lost 5.9 percent of its value in the last 7 days as it records an 87 percent fall from its all-time high of $3. Currently, ADA is trading at $0.369125. Interestingly, investors are anticipating a bull run as they actively buy the dip. 

According to reports, whales on the ADA blockchain have added 100 million more of the token to their portfolio over the last seven days. This is a good sign as the last time a Cardano whale holding between 100,000,000 to 1,000,000,000 accumulated more of the asset, it triggered a bull run. The whale activities have been linked to the recently launched Hydra project on its mainnet. According to Input Output Hong Kong (IOHK), Hydra is meant to make the network more scalable and adaptable. 

A family of Layer 2 (L2) protocols designed to make Cardano more scalable and adaptable for various use cases that require fast and cheap transactions.

Hydra is expected to scale up Cardano’s transactions per second from 250 to 1 million.

Cardano had incredible numbers in Q1 2023

Cardano has had a successful year so far as its first-quarter report saw a 54 percent surge in its market cap from $8.6 billion to $13.2 billion. This made it the 7th largest project based on market cap. Its Total Value Locked (TVL) also increased from $50.8 million to $138.3 million, a whopping 172 percent surge in the first quarter.

According to the report, established protocols like MinSwap and newer protocols like Liqwid Finance largely contributed to this. Its total stablecoin value was also up by 261 percent, thanks to Indigo’s IUSD and Djed’s DJED stablecoins. 

The report stated that:

Cardano aims to provide security, scalability, and sustainability to decentralized applications and systems building on top of the blockchain. In addition to the community of developers, node operators, and projects, Cardano is supported by three entities: Input Output Global (IOG), The Cardano Foundation, and EMURGO. They work together to support the network’s development, adoption, and finances while Cardano moves toward full decentralization of governance.

Cardano has been very active in the space this year ranging from several developmental upgrades to partnership agreements with multi-million dollar companies. Globant recently announced a partnership with Cardano’s layer 2 network and Sidechain Paima Studios as it seeks to become Paima Engine Professional. With this, Globant would benefit directly from Paima Studios as it gets support including technical support, educational materials, and lead generation. 

Ailin Gonzalez, Managing Director of Blockchain Studio at Globant commented: 

We are confident that our partnership with Paima Studios will enable us to provide unparalleled solutions, enhance our current Gaming and Web3 value proposition and create new business opportunities. We are excited to work with clients and partners to transform their businesses and achieve their goals.

Analysts predict ADA to go as high as $0.6 by the end of the year as the crypto winter is expected to come to an end. 

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