Cardano (ADA) has recently seen a notable increase in its market capitalization. Blockchain analysis company Santiment reported a 9% increase in ADA’s market cap over the past day, which adds to a rise of over 20% over the past two weeks.
This surge in valuation growth aligns with increased activity on the Cardano network, especially among large-scale holders, commonly known as “whales.”
Cardano On-Chain Data Signals Bullish Behavior for ADA
Prior to this latest rise in value, several on-chain metrics hinted at the potential for a near-term increase in ADA price. Santiment’s analysis highlighted that two key indicators – address activity and whale transactions – had reached levels not seen in three months.
This type of chain behavior is often precedes market movementsattracting the attention of investors and analysts.
Digging Deeper into Cardano blockchain dataThere has been a 23% increase in address activity over the past three weeks, according to Santiment, suggesting a growing use case or increased speculation on the altcoin’s future.
At the same time, whale transactions, which are large transfers of ADA often indicative of the movements of deep-pocketed investors, climbed more than 32%. Such large trades can have a huge impact on market sentiment, potentially leading to price volatility or, in this case, an uptrend for ADA.
📈 #Cardano was the big story on Thursday, with market capitalization growing +9% over the last 24 hours and now +36% over 2 weeks. As per usual, #onchain activity hinted at this #bullish action with $ADA Address activity and whale transactions are at their highest level in over 3 months.… pic.twitter.com/IYBBk3ssf4
–Santiment (@santimentfeed) November 2, 2023
Latest ADA Price Action: Market Up Over 10%
At the same time, in a development that matches market expectations, the price of ADA has maintained an upward trend in recent weeks. As a result, the altcoin’s market capitalization has reflected this positive momentum, increasing by approximately 11.4% in the past week and by almost 30% over the past two weeks.
It is important to note that ADA’s market capitalization has exceeded the $11 billion mark, up from previous monthly low of approximately 9 billion dollars. This increase in the value of market capitalization allowed ADA to reach a trading price of $0.32 at present, which represents an increase of almost 5% in the last 24 hours alone.
Further reinforcing the optimistic market sentiment, ADA’s daily trading volumes saw a substantial increase. While last Friday the trading volume hovered around $214 million, there has been a remarkable increase with the figure rising to almost $500 million over the past day.
This increased trading activity, coupled with market capitalization growth, signals strong investor interest in ADA, which could indicate broader market confidence in the altcoin’s prospects.
Featured image from Unsplash, chart from TradingView