The recent market correction that drove the Bitcoin price below $40,000 has diverted major wallets to Cardano, and the altcoin project is gaining exponential momentum based on transaction volume.
Cardano (ADA) sees significant increase in trading volume
Cardano (ADA) has exceeded 21.6 billion transaction volume, accompanied by huge demand. Crypto expert Ali Martinez points out that this type of market behavior on the Cardano network often acts as a proxy for institutional and whale activity, showing how important players can make plans for volatile prices:
There was an increase in ADA transaction volume exceeding $21.6 billion. This type of market behavior often acts as a proxy for institutional and whale activity in the ADA network, signaling how these investors position themselves for price fluctuations.
The frequency of transactions by whales and institutional investors is represented by large transactions, often over $100,000. The volume of these massive transactions determines the total amount that whales and institutional investors trade on a given day. Increases in the volume of large trades may indicate that key players are buying or selling more. It is known that in slump situations, whales and large purses hold more stock and prefer to buy at the bottom price.
Cardano is one of the most important altcoin projects that whales have accumulated
Binance whales have a significant amount of ADA, according to data provided by WhaleStats. The data shows that giant wallets have almost 11,815,034 ADA. As Somanews reported, the Cardano network experienced a boom in on-chain activity, with new addresses increasing by 167%. IOHK, the parent company behind the altcoin project, emphasized that new users are at the door after the launch of new dApps earlier this year.
IOHK shares the following on its roadmap, where it refers to the network’s updates:
Now that we’ve entered the Basho phase, we’re working harder on optimization and scaling. First hundreds of thousands of users, followed by millions of new users, building on these foundations and continuously increasing capacity and throughput to cope with the growth in the DApp ecosystem.
According to Tim Harrison, IOHK’s head of media, 492 projects are currently in development in Cardano. At the time of writing, the project’s native cryptocurrency ADA is trading at just under $1.