Cardano Witnessing an Increase in Purchases From Institutional Players and Whales
If reports are to be believed, then whales have started expanding their respective portfolios. They are expected to be adding ADA in large numbers. What signals this probability is the sudden spike in the on-chain activity of Cardano.
As of March 28, 2022, approximately 69.09 billion ADA were transacted on the network. This represents 99% of the total on-chain volume, signaling an institutional demand that may increase the buying pressure and push the trading value of ADA to $2 on the board.
Those who hold ADA in their portfolio are probably looking forward to the rise in the trading value. This will enable them to exchange or trade their holdings for other digital assets.
People who have been waiting to get their hands on ADA may have been devastated by the news that whales and institutional players have entered the ecosystem to expand their portfolio. The Crypto community believes that if such buying activities continue, then the price could soon touch the mark of $2, making it expensive for new individuals to enter the market.
ADA had recently claimed the support value of $1, prompting big players to invest their money into Cardano. The price may go up if buying activities continue to prevail. A trading value of $3.10 is also a possibility according to the Cardano price prediction; however, it may happen only by the end of the current year.
Reports suggest that transactions worth more than $100,000 have risen by 5,000% since the beginning of the current year.
Whales and institutional players trading heavily in the market suggest where they are more likely to position themselves. Even though the prices are on the rise, their purchase showcases the possibility that there is an opportunity for ADA to earn several gains in the coming days.
The value of 69.09 billion in terms of ADA transactions represents 99% of the total on-chain volume. That figure was registered on March 28, which has been coined as the beginning of the trade by whales and institutional players.
As for the number of whales on the Cardano network, statistics suggest that there was only an increase of 1.7%. Statistics also point out that 42 addresses were holding ADA between 1,000,000 and 10,000,000. These coins, at the time of writing, are worth $1.2 million and $12 million in ADA, respectively.
Now that the support of $1 has been achieved by the Cardano network, the next milestone is $1.36 for the Ethereum Killer. Traders believe that if ADA is able to surpass that mark, then there is a high probability that it will go beyond $2 at the earliest.
The mark of $1.36 is where 690,000 addresses had earlier added 6.41 billion ADA into their pockets.
An increase in the holding by whales has definitely built a support floor of $1. The price will only rise unless there is a major downfall in the market.