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The recent crypto market crash seems to be continuing as several digital assets experience a decline in their values. As of Friday, Cardano (ADA) is recorded to be trading below $0.55. In addition, the market cap of the cryptocurrency dipped to around the $18 billion mark from above $20 billion.
The Cardano whales came to the rescue and accumulated the asset class in huge numbers with the aim to drive up its price back. On Friday, around 160 Cardano whales bought $ADA worth over $100,000, as per the data released by Santiment, an on-chain data provider.
Santiment, disclosing these transactions, revealed that ADA increased to nearly 160 $100K plus transactions in just 6 hours on Friday.
The price of Cardano(ADA) increased by more than 6%, after this wave of whale accumulation, reaching levels above $0.57, while its market cap reached above $19 billion.
This accumulation also helped Cardano outperform XRP and become the sixth-largest cryptocurrency by market valuation.
Will $ADA Rise In Value After Heavy Whale Accumulation?
The on-chain analytics provider, disclosing the accumulation, tweeted that the recent wave of Cardano whale accumulations jerked the prices of ADA by over 28% within 18 hours.
The tweet of Santiment reads as follows:
“#Cardano got a small bounce the second half of Friday trading after large whale transaction counts began to appear on the $ADA network. An extreme example of the last time whales accumulated on a downswing, prices jumped +28% in the span of 18 hours.”
This step, however, seems to be targeted at the expansion of market cap instead of an attempt to make the prices rise, because of the uncertain market conditions
Since the accumulation, ADA witnessed a retracement as it went from $0.57 to $0.56 and has seen a rise of 20% in the week, leading it to become the biggest gainer in the top 20 cryptocurrencies by market cap. Meanwhile, The amount of NFTs issued on the Cardano chain crossed 5 million, taking the cryptocurrency to a resurgence.
ALSO READ: MAKER Price Analysis: MKR Needs to Attract More Buyers, as the bears are still dominating.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
