The Cardano network has recently been making waves and turning heads in the crypto market. With a significant surge in network activities, this blockchain platform is not just sparking growth but also igniting speculations about the potential of its native token, ADA, to hit the impressive $0.4 mark. This promising development is primarily driven by an upswing in transaction volumes on Cardano-based decentralized exchanges (DEXs) and the launch of new, buzz-worthy meme coins on the network.
Whales Make A Big Move Due To Cardano’s Bullish Performance
Showcasing Cardano’s impressive capabilities, a whopping 313 billion ADA tokens have been transferred in high-value transactions, underscoring the altcoin’s vibrant market activity. Amid this whirlwind of major transactions, the total count of these transactions surpassed 70,000, emphasizing the network’s considerable capacity.
High-value transactions, classified as those exceeding $100,000, serve as a crucial gauge of whale activity within the network. Such significant transfers hold the potential to markedly influence the price of the ADA token. Yet, in spite of the sharp uptick in volume, ADA’s price has demonstrated a relatively steady performance, with volatility hovering around 4% over the previous week.
Irrespective of the underlying motives, these substantial transactions highlight the faith and assurance of major investors in the potential of the Cardano network. One of the key drivers of this growth is the surge in transaction volumes on Cardano-based DEXs. Specifically, MinSwap, a Cardano-based DEX, saw its transaction volume grow from $10 million to $72 million from May 1 to 30.
Moreover, the launch of two new meme coins, Snek and Bank, on the Cardano blockchain has also contributed to the rise in the network activity, eventually pushing the ADA price to the North.
Is ADA Price Preparing For $0.4?
Cardano experienced a solid surge today as the price initiated a breakout above $0.365. ADA price continued to show upward momentum as it broke past the EMA20 line at $0.3715.
Currently, the price is facing trouble climbing above the critical resistance at $0.378, suggesting that the bears are vigorously defending this level. The sellers will aim to drag the price beneath the uptrend line. This is a crucial level for the buyers to safeguard because a breach below $0.37 will nullify the bullish ascending triangle pattern, potentially triggering a decline to $0.30.
As of writing, ADA price trades at $0.3743, showing an uptick of over 2% in the last 24 hours. On the bullish side, if the ADA price rebounds from the current level and jumps above the 23.6% Fib channel, it will imply that bulls are capitalizing on the dips. The bulls will then strive for another push to propel the price above the $0.383 mark. If they achieve this, the ADA price may experience a surge toward the resistance zone of $0.42 to $0.44.