Cardano (ADA) might be witnessing declines in market variables, but that does not stop whale investors’ actions, as they have been highly active and initiating significant token transfers.
In a recently revealed post, Cardano (ADA) whale investors have moved $13 billion worth of ADA tokens from the Cardano network.
In comparison with Ethereum’s (ETH) $5 billion 7-day average transactions, Cardano’s ecosystem whale dealings were more significant in recent months, according to IntoTheBlock, a crypto market intelligence and DeFi platform.
The new revelation has attracted the crypto community’s attention. Most people never anticipated such incredible figures being meted out in whale transactions for Cardano (ADA).
Cardano whales have been quite active for the past few months. $13B in large transactions (>$100k) is being settled on Cardano daily on average. A significant amount, if you compare it to Ethereum's $5B 7-day average. pic.twitter.com/8rjeQZaonU— IntoTheBlock (@intotheblock) January 18, 2024
Cardano Whales’ Actions Not Correlated With Action
According to Cardano’s (ADA) market statistics on Coincodex, a globally recognized crypto asset tracking site, the digital asset does not appear to replicate crypto watchers’ expectations.
Cardano (ADA) is currently changing hands at about $0.498. It is down by 10.53% and 17.07% in the past week and month, respectively.
The declines above imply that there might not be any significant demand for Cardano (ADA) despite spiking to attain price levels above $0.6, following Bitcoin (BTC) spot Exchange Traded Fund (ETF) approval.
Comparing the current Cardano (ADA) price to what was obtainable post-Bitcoin ETF approval, the token has recorded declines of about 20.5%.
Should Cardano (ADA) continue to replicate current price action, it becomes safe to say that the coin holders might be considering selling off, spewing a poor outlook for the Cardano ecosystem.
We are on twitter, follow us to connect with us :- @TimesTabloid1— TimesTabloid (@TimesTabloid1) July 15, 2023
50-Day And 100-Day EMAs Corroborates Cardano (ADA) Bearish potential
Applying the 50-day and 100-day Exponential Moving Averages (EMAs) made the recent Cardano (ADA) battles to remain afloat in the crypto market more evident.
Based on the findings, the struggling crypto asset has dropped below the 50-day EMA, indicating a strong bearish signal that could be worse if ADA eventually falls below the 100-day EMA.
The 100-day EMA currently serves as a resistance to prevent the token from further declines. However, the constraint at the 100-day EMA does not appear significant to wade off future occurrences that could slash Cardano (ADA) market worth.
In summary, ADA’s price movements relative to whales’ actions have introduced an element of suspicion among Cardano enthusiasts. Whether the large transactions aim to accumulate ADA to hodl as a long-term investment strategy remains a mere speculation, as nothing seems assured.
Chinedu Agbakwusi is a medical student at the prestigious Nnamdi Azikiwe University with sound knowledge of the crypto space. I am here to be a reliable plug for well-researched crypto content ranging from crypto news to market analyses and blockchain inventions.
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