Cardano, the seventh-largest cryptocurrency by market cap, appears to be on the verge of a significant price surge as the network experiences an uptick in activity.
This rise in activity is evidenced by the growing number of large transactions on the Cardano network, which is believed to be the result of institutional players and whales making their moves. According to data from blockchain analytics firm IntoTheBlock the number of large transactions in the past 24 hours has spiked to tap a 7-day high of 4.73K.
“Large ADA transactions are on the rise, suggesting that Cardano network activity is heating up as institutional players and whales make their moves. This is a bullish sign supporting the ADA uptrend!” the popular crypto on-chain analyst “Ali” wrote on April 15, highlighting the network’s activity growth.
Data from IntoTheBlock also shows that for the past two or so weeks, Cardano whales have purchased over 560 million ADA tokens, valued at over $218.4 million. Last month, Cardano whales holding 1 million to 10 million ADA bought roughly 150 million ADA, spending about $57 million, data from the firm showed. This surge in buying activity from institutional players and large investors is seen as a positive indication of their long-term confidence in the potential of the Cardano network.
Cardano’s allure has also been reflected in its Total Value Locked (TVL) value. Data from Defi Lamma has shown that from the beginning of 2023, the TVL has significantly increased to approximately $168.68 million. This represents a remarkable recovery considering its TVL was just $48.95 million on Jan 1.
Cardano is a blockchain platform that aims to provide a secure and sustainable infrastructure for decentralized applications and smart contracts. The platform’s native cryptocurrency, ADA, is used to facilitate transactions and pay for services on the network.
One of the key advantages of Cardano is its ability to support a wide range of decentralized applications, such as DeFi and NFT marketplaces. Early this week, Cardano developer IOG released Lace, its first native wallet for the Cardano network. The wallet will enable users to transact Cardano digital assets and stake ADA tokens directly from Lace to receive rewards, potentially attracting more users.
As more users and developers join the Cardano network, ADA’s value will likely continue its upward trajectory. Furthermore, with Cardano whales making significant purchases and network activity rising, the stage is set for a significant surge in the price of ADA.
At press time, ADA was trading at $0.45, up 16% in the past seven days. Year-to-date, ADA is up over 89%, according to CoinMarketCap Notably, the price recently broke the neckline of an inverted head-should pattern, which could see it surge to $0.60, according to Ali.