Cardano (ADA) has witnessed a significant surge in trading volume, coinciding with a recovery in its price. The changing dynamics of the market, influenced by the potential approval of a Bitcoin spot ETF, continue to dictate the trends. In the past 24 hours, ADA has experienced a remarkable increase in trading volume, surpassing $900 million, which represents a surge of over 100%. It’s important to note that this data includes both spot and derivatives markets. Interestingly, this spike in trading volume aligns with the price recovery of ADA.
According to our data, ADA has seen a rise of more than 6%, indicating a recovery for the digital asset. However, it’s worth mentioning that ADA had suffered a loss of around 17% in the past seven days. Currently, ADA is being traded at $0.5199.
These current prices mark a significant drop from the 12-month high of $0.6755 that ADA reached at the end of 2023. Nevertheless, investors remain optimistic and believe that ADA will surpass this high in the new year.
Since the beginning of the month, ADA has consistently shown an increase in trading volume. This rise in volume has also coincided with heightened activity from large-scale investors, known as whales. Crypto analyst Ali reported earlier this month that whales had purchased over 14 million ADA, equivalent to approximately $8.40 million. The analyst further highlighted that Cardano’s price action is reflecting a pattern similar to that of 2018-2020.
If this trend continues, we may witness ADA consolidating at its current levels until April, paving the way for a potential resurgence of the bull market.
It’s worth noting that before the 2018-2020 pattern, which can be described as an accumulation phase, ADA experienced a bullish run. In 2021, the cryptocurrency reached a new all-time high of $3.09, securing its position as the 9th-ranked coin. Ali suggests that if the current trend persists, ADA could consolidate around its current levels until April, potentially leading to another bull run.
Furthermore, ADA’s rally in 2024 is expected to be fueled by upcoming network developments. The Cardano team has discussed various advancements, including the Chang hard fork and the Voltaire upgrade, which aims to establish full Cardano community governance. Additionally, the team plans to facilitate real-world asset tokenization and encourage third-party dApp development on the network.
Crypto analyst Lucid predicts that based on Cardano’s advanced technology, strong community support, robust network, and dedicated development team, ADA will dominate in 2024 and easily reach $10.
With all these factors in play, Cardano is poised to make a significant impact in the cryptocurrency market in the coming year.
