The price of Cardano (ADA) remains under pressure. The coin has been in a downward trend for several weeks and recently even briefly fell below the $0.80 mark. Yet wealthy investors, or “whales,” don’t seem to worry much. On-chain data from Santiment shows that these major players bought up as many as 20 million ADA tokens within a 48-hour period during the recent dip.
ADA price continues to fall
In the last 24 hours, Cardano price fell by 5.5%, to the current level of $0.85. With this, the altcoin continues its downward trend that has been going on since December 3. Then ADA reached a local peak of $1.30. At its current value, the coin is now trading as much as 35% lower than this peak.
Whales invest $17 million in ADA
The recent price drop seems to be seen by whales as a buying opportunity. In total, they purchased $17 million worth of ADA tokens, increasing their combined holdings to 6 billion ADA tokens. This represents a total value of more than $5 billion. These purchases underline the confidence of major investors in the future of Cardano, despite the current price pressure.
Growth in staking on the Cardano network
Despite the bearish price action, the number of stakers on the Cardano network continues to grow. The network recently reached a milestone of 22 billion ADA tokens staked. Analysts see this as a bullish signal. An increase in the number of staked tokens could limit the supply in the market, which could have a positive effect on the Cardano price.
Decline in DeFi activity
However, not all signals are positive. The use of Decentralized Finance (DeFi) protocols on the Cardano network has decreased significantly, according to data from DeFiLlama. The Total Value Locked (TVL), the total value held in DeFi applications, fell from 700 million to 430 million ADA in the past two months. This is seen as a bearish signal and could indicate DeFi users switching to other altcoin platforms.
Claim €10 free today and pay no trading fees on the first €10,000!
Grab this unique opportunity with Newsbit and Bitvavo by creating an account now via the button below. Deposit just €10 and immediately receive €10 free. In addition, you can trade your first €10,000 in trades for 7 days without any fees. Start today and benefit immediately from the growing popularity of crypto!
Create your account and claim your €10 free.
Don’t miss this opportunity to immediately benefit from the growing popularity of Crypto!
Source: https://newsbit.nl/568229-2/
