Main navigation

Cardano Faces Massive 186% Increase in Retail Interest

News
Fri, 05/06/2022 - 12:47
article image
Arman Shirinyan
Retail investors are actively investing in ADA, according to on-chain data
Cardano Faces Massive 186% Increase in Retail Interest
Cover image via stock.adobe.com
Read U.TODAY on
Google News
Contents

The Cardano (ADA) network reported a massive increase in the number of retail traders reflected in balances in short-term holders' wallets. According to on-chain data provided by Glassnode, the number of balances holding the asset for 30 days or fewer spiked by 186%.

Data suggest that short-term traders are holding 36% of the cryptocurrency supply. Such a strong increase in short-term interest could be tied to both the market and fundamental conditions in which Cardano currently sits.

Cryptocurrency market feels relief

Following the 50 bp rate hike by the Fed yesterday, a large portion of the cryptocurrency market felt relief, which led to the extremely short rally on the market, with some assets gaining up to 40% in one daily candle.

ADA Chart
Source: TradingView

Cardano also benefited from the relief on the market and gained 17% to its value, bringing hope to some long-term investors. The spike in the price may have attracted numerous retail investors that were looking for an entry into digital assets.

Cardano keeps on growing fundamentally

The massive and rich development process follows Cardano's path on the cryptocurrency market behind the scenes. Only at the beginning of April did the Cardano network report $300 million in funds locked in various decentralized platforms and smart contracts.

Related
Transfer Error Worth $36 Million in Crypto Sent to Ether Blockchain

As for now, Cardano awaits the delivery of various decentralized solutions and projects like the Djed stablecoin, which should become a bridge between fiat assets and Cardano's underlying coin.

At press time, ADA trades for $0.7 and has lost all the traction it had only one day ago. The total loss for ADA since the ATH now remains at approximately 78%.

article image
About the author

Arman Shirinyan is a trader, crypto enthusiast and SMM expert with more than four years of experience.

Arman strongly believes that cryptocurrencies and the blockchain will be of constant use in the future. Currently, he focuses on news, articles with deep analysis of crypto projects and technical analysis of cryptocurrency trading pairs.