Cardano (ADA) has recently witnessed an extraordinary surge in whale netflows, skyrocketing by an astonishing 32,348%.
According to IntoTheBlock data, this week, Cardano has risen a whopping 32,848.01% in Large Holders Netflow, which provides an idea of the change in positions of whales. The positive surge in Cardano’s whale netflows might suggest a substantial accumulation of ADA by these large players.
In the last 24 hours, Cardano has seen a 40.39% rise in large transaction volume, a metric that denotes whale activity.
The increase in whale activity accompanying a surge in net flows might be regarded as a positive indication. When whales accumulate large amounts of a cryptocurrency, it might indicate confidence in the asset’s future performance, which can lead to increased buying pressure and potentially drive up the price of the cryptocurrency.
However, it is important to bear in mind that while whale accumulation is a positive signal, it does not guarantee immediate price increases. Cryptocurrency prices can be influenced by a variety of factors, including broader economic conditions and overall market sentiment.
What’s next for price?
ADA began to rally on Tuesday, Sept. 17, and will mark the fifth day of gains if today closes in the green. At the time of writing, ADA was up 1.05% in the last 24 hours to $0.357.
On the upside, a sustained break above the daily SMA 50 has largely constrained the ADA price since late March. ADA attempted to break through this key resistance on two counts in July and August respectively, but bulls’ activity was halted. If this is achieved, ADA could rally to $0.40 and subsequently to $0.45.
On the other hand, if ADA price turns down from current levels and breaks below the daily SMA 50, it might suggest that ADA might persist in range trading for a little while longer.
In exciting news for the Cardano ecosystem, Cardano’s Constitutional Committee Portal has launched on the mainnet, marking a significant step toward further decentralizing governance.