According to U.Today, the trading volume of derivatives on Cardano (ADA) has seen a significant increase of 170% within a 24-hour period, as per data from CoinGlass. This surge has pushed the perpetual futures on the Cardano token to over half a billion dollars in trading volume during the same timeframe. Concurrently, data from CoinMarketCap indicates a 117.88% rise in ADA trading volume on spot markets across various exchanges, with a total of $554.9 million traded. When both spot and derivatives markets are combined, the total trading volume of the Cardano token has reached an impressive $1.09 billion in the past day.
This increase in trading activity coincides with a rise in the price of the Cardano token. Since the start of the latest daily candle, ADA has seen a solid increase of over 6%, reaching $0.49 — a level not seen in the past 17 days. It is speculated that the volume growth is due to the Fear Of Missing Out (FOMO) among market participants. Over the past few weeks, the price action of the Cardano token has severely depleted investors and traders with its low-volatility movement. This led to jokes that ADA at $0.45 is a stablecoin.
The unexpected increase in the Cardano price could, on the contrary, provoke fear and greed among market participants who were left behind, and make them invest in Cardano. Regardless, the growth in trading volumes signals increased interest and attention on the popular cryptocurrency, which means increased volatility and drama.