Cardano (ADA) has surged 25% in just three days, breaking above $0.43 for the first time since July.
Thus, this impressive appreciation is driven by increased activity from large Cardano holders, the increase in average holding duration, and the growing demand for the altcoin.
Cardano is in high demand
Data from Santiment has revealed a surge in Cardano whale activity in recent days. According to the on-chain data provider, the daily count of ADA transactions exceeding $100,000 has skyrocketed. Yesterday (7), 697 such transactions were recorded, representing the highest single-day count since September 5.
Furthermore, when large investors increase their transactions, it indicates greater interest from major players. These movements show confidence, suggesting that these investors expect the asset to appreciate, as is the case with Cardano.
Read more: Cardano (ADA) Price Prediction 2024/2025/2030
Cardano Whale Activity. Source: Santiment
As whales increase their accumulation, this often generates higher demand among other market participants. This movement is in line with the recent increase in Cardano coin holding time, which has increased by 139% in just one week.
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The holding time metric shows how long investors hold their tokens before selling them. Typically, a longer holding period indicates bullish sentiment, such as the 139% increase in ADA holding time, reflecting confidence in the short- to medium-term growth prospects.
Cardano Coin Holding Time. Source: IntoTheBlock
ADA Price Prediction: Watch $0.40 Price Level
Cardano is currently trading at $0.42. It managed to break through key resistance at $0.40, a level that has held strong since July, with each previous attempt to break above it facing intense selling pressure.
Furthermore, should the current uptrend persist, the $0.40 level is likely to turn into a solid support floor, fueling a jump in Cardano price towards $0.47, a price point last seen in June.
Read more: How to Buy Cardano (ADA) and Everything You Need to Know
Cardano Price Analysis. Source: TradingView
However, if the $0.40 level fails to hold as support and the retest is unsuccessful, the coin’s price could drop to $0.31. This would invalidate the possibility of a Cardano price jump in the near term.
The article Cardano Above $0.40: What’s Next? appeared first on BeInCrypto.
