The embrace of Cardano (ADA), the proof-of-stake (PoS) Layer-1 protocol by market whales is growing, according to a recent report by crypto analytics service provider Santiment. Per the whale activity alert from the platform, the total number of transactions involving more than $100,000 in value has topped 539 as of Monday, Feb. 20.
Whale activities on any protocol are a bullish action capable of exerting a positive bullish action on the price of the network's native digital currency. As for Cardano, ADA has been on the positive end of these bogus transactions, with its price currently pegged at $0.3959, up 12.15% over the trailing seven-day period.
The Cardano price action since the start of the year has also reflected the overall bullish sentiment that the big money investors are taking a liking for the protocol as a whole. Despite the highly volatile nature of the crypto market, Cardano is up by 61.77% in the year-to-date (YTD) period.
While the Santiment data reveals Cardano's price is moving in tandem with the whale action, we can expect a more pervasive uptrend should the accumulation continue.
Boosting attractiveness of Cardano
Interest in ADA by either retail or institutional investors is often driven by the current outlook of the protocol with respect to ecosystem growth and development. In terms of both metrics, Cardano has never lagged behind, as developmental work by Input Output Global has taken a whole new turn, with the launch of the Sidechain Toolkit earlier this year.
The proposed debut of Hydra, a protocol that will enable Cardano scalability by settling transactions offline, will also add to recent launches of the DJED stablecoin and other innovative programs already launched by the core development team.
Cardano is currently leading in terms of development activities compared to other Layer-1 protocols dubbed Ethereum-killers, thus generally boosting the attractiveness of the blockchain network.
Alex Dovbnya
Denys Serhiichuk
Arman Shirinyan