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Cardano (ADA) traders are bullish on the asset, as their bets on Cardano’s derivatives market reveal. According to CoinGlass data, the asset’s open interest has significantly spiked in the last 24 hours. A total of 1.2 billion ADA has been committed to the coin’s futures market.
Futures traders betting big on Cardano rebound
This open interest figure translates to $694.08 million in fiat currency, which traders have bet on Cardano. The move suggests that these investors anticipate a possible increase in ADA’s value in the coming day as the cryptocurrency market begins to recover from the downturn sparked by Middle East tensions.
Notably, the broader crypto market outlook has increased by 1.44% in the last 24 hours. Within this time frame, Cardano climbed from $0.5753 to a peak of $0.5918 as the coin sought to retest the $0.60 price level.
As of press time, Cardano exchanges at $0.5811, as the asset suffered a pullback due to market volatility.
The current 1.2 billion ADA bet by futures traders could trigger support and push Cardano’s volume up. It remains in the red zone by a massive 50.27% downturn valued at $605.59 million. However, this metric could shift positively if more investors transact ADA amid renewed momentum.
Can ADA bulls sustain momentum?
Interestingly, in the last 48 hours, Cardano bulls triggered a 10% boost to ADA’s price before it suffered resistance. Nonetheless, a repeat of significant accumulation could support the asset to breach the $0.60 resistance level.
Several developments in the Cardano ecosystem support a possible bullish rally. For instance, the blockchain has integrated Bitcoin into Cardano's Lace Wallet, and there are speculations about the possible inclusion of XRP.
Meanwhile, Cardano is primed for upward movement, as the coin recently witnessed a huge market sell-off. This implies that with Cardano likely oversold, the asset is more likely to rebound than continue on a downward trajectory.
Vladislav Sopov
U.Today Editorial Team