Cardano is currently at a crucial juncture with the impending Chang hard fork on the horizon. This development comes after the recent upgrade of its node validation software, signaling a significant milestone for the project. As the Cardano ecosystem prepares for this major update, there has been a noticeable surge in network activity that could shape its trajectory in the weeks to come.
One of the most intriguing aspects of this surge in activity is the positive price action seen in Cardano’s native cryptocurrency, ADA, over the past 24 hours. This increase in price reflects a growing sense of optimism in the market. The rise in ADA’s price coincides with a spike in transaction volumes, particularly from whales or large ADA holders.
Recent on-chain data has shown a notable uptick in transactions from large holders, with transaction volumes hitting a peak of 17 billion ADA tokens. This surge in activity was highlighted by IntoTheBlock’s dashboard, which tracks transactions greater than $100,000 in a 24-hour period. While the number of large transactions had initially been on the decline earlier in the week, a sudden spike led to a trading volume of 17.78 billion ADA on Friday, equivalent to $7 billion worth of tokens exchanged among whale addresses.
Despite the increase in trading activity, on-chain data suggests that large holders are not necessarily selling off their tokens. Instead, they have been accumulating ADA at a rapid pace. The Large Holders Inflow metric from IntoTheBlock indicates that whales have been accumulating tokens, with a 579% increase in inflows over the past seven days and a 173% increase over the past 30 days.
This accumulation by large holders has also resulted in a significant rise in net flow, which accounts for both the inflow and outflow of tokens from large addresses. In the last seven days alone, there has been a staggering 720.62% increase in net flow, and a remarkable 2580% increase over the past 30 days. These figures suggest that large holders are not only acquiring more ADA but are also holding onto their tokens, indicating a strong positive flow of funds into the ecosystem.
Much of this accumulation can be attributed to the upcoming Cardano hard fork, which will usher in the Voltaire era. This phase is the final piece of Cardano’s roadmap towards creating a fully decentralized blockchain ecosystem. As the Chang hard fork draws near, the cryptocurrency community is closely monitoring these developments and speculating on how they will impact the Cardano network and its overall market performance.
In addition to the excitement surrounding the Chang hard fork, there are speculations that Cardano could be the next cryptocurrency to secure its own Spot ETFs, following the recent approval of Spot Ethereum ETFs. This potential development has further fueled interest in Cardano and could potentially attract more institutional investors to the ecosystem.
Cardano’s recent trends paint a picture of growing confidence and optimism in the project. The surge in activity, coupled with the accumulation by large holders, indicates a strong belief in the future of the Cardano network. With the Chang hard fork on the horizon and the possibility of Spot ETFs in the works, Cardano is poised for further growth and success in the coming months.
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