Major Developments in Cardano: Significant Purchases of 180 Million ADA Coins as SEC Delays ETF Judgment
Whales Boost Cardano Token Purchases Amid Market Dip
- Adoption growth for Cardano (ADA) continues, with large investors accumulating over 180 million tokens this week. The increasing interest comes despite a 6.53% weekly decline in the ADA price, which currently stands at $0.7516.
- The surge in whale activity has piqued the interest of market observers, who often associate such purchases with significant future price movements in the cryptocurrency space. This activity occurs as anticipation mounts for regulatory decisions surrounding potential Cardano ETF approval.
- Analyzing community sentiment, it remains overwhelmingly positive, with over 90% of investors expressing optimism towards ADA's prospects.
- Cryptocurrency analyst Ali revealed the substantial whale accumulation on the social media platform X, demonstrating a pattern of investors with substantial ADA holdings, typically between 100 million to 1 billion tokens, stepping up their positions. This trend has historically prelude to major price shifts in Cardano markets.
- As of now, the ADA token trades between $0.7316 and $0.8313 over the past week. The immediate resistance for ADA is at $0.762 and support stands at $0.7347. Despite the recent weekly decline, trading volume remains robust at $617,173,312 over 24 hours.
- Interestingly, Cardano's price performance trails behind the broader cryptocurrency market that shrank just 1.90% weekly. Meanwhile, smart contract platform cryptocurrencies, similar rivals to Cardano, have dropped merely 0.10% over the same period.
- Cardanians, a leading Cardano community platform, points out impressive sentiment metrics from CoinMarketCap data, noting ADA's second place on the most-voted cryptocurrency list. The community bullishness, at 91.9%, places Cardano fourth among all cryptocurrencies for positive investor outlook, contrasting sharply with the recent ADA price action.
- In a separate development, the Securities and Exchange Commission has extended the Cardano ETF timeline, moving the next decision deadline to August 27, 2025, beyond the initial May 29, 2025 deadline. The final decision is scheduled for October 26, 2025, marking the maximum 240-day review period.
- Grayscale submitted the Cardano ETF proposal on February 10, 2025, aiming to track ADA price through major exchange indices, enabling investors to gain ADA exposure through traditional brokerage accounts without holding the tokens directly.
- The SEC's extending of the review period mirrors similar trends observed with previous cryptocurrency ETF reviews, suggesting thorough examination of market manipulation concerns and investor protection measures. Most cryptocurrency ETF applications utilize the full 240-day review period before receiving final approval or denial decisions.
- The rise in large investors' interest in Cardano (ADA) amidst a market dip suggests that some investors might be using the price decline as an opportunity to purchase the cryptocurrency, potentially signaling a forthcoming increase in technology-driven asset's value.
- Given Cardano's upcoming potential ETF approval, the technology sector, including the BSE (Bombay Stock Exchange) and other expansive financial markets, may take notice of any regulatory decisions that impact the cryptocurrency market landscape, possibly sparking further investments in Cardano.
