Cardano is experiencing a surge in activity, with trading volumes of the ADA asset increasing by more than 130% in the last 24 hours. The ADA token has also increased by more than 10% as more buyers appear to be joining in. The crypto community has noted that there appears to be a lot of whale activity related to Cardano, which has had a strong few months.
The crypto market has been in the green in general over the last 24 hours, with news of the US Federal Reserve raising interest rates appearing to boost it slightly. Cardano is one of the top gainers, outperforming the majority of major assets.
Cardano’s trading volume surpassed $1.5 billion(R 24bn) on May 5, up from $648 million (R10.4bn) on May 4. The asset’s market cap is now $30.5 billion (R488 bn), up to $4 billion (R64 bn) from the previous day. Cardano trading activity has been very positive in recent months. The month of March ended on a high note, with over $2 billion (R32 bn) traded in the final days of the month.
The asset is still some distance from its YTD highs, but the near future looks promising for a variety of reasons. One of the reasons ADA supporters are optimistic about the project is that whales have been accumulating ADA for the past month or so. According to data platform Santiment, nearly 200 million ADA now reside with whales. This is undoubtedly a factor in the significant increase in trading volumes.
The ADA’s Ecosystem and Technological Advances Could Also Be Factors
While there is no doubt that whale accumulation can have a significant impact on an asset’s trading activity, it could be more than that. Cardano has received a lot of positive attention in recent months, which is almost certainly having an effect. As a result of all of this, Cardano now has an all-time high number of ADA holders.
Positive news includes both ecosystem developments and network technical upgrades. Then there’s the fact that Coinbase introduced ADA staking, which was a significant step forward.
In other news, Cardano founder Charles Hoskinson proposed collaborating with Elon Musk to build a decentralized platform. Snoop Dogg, in collaboration with Clay Nation and Champ De Medici, unveiled a new NFT collection on the Cardano blockchain.