TLDR
ADA price dropped 8.82% to $0.9914 in 24 hours
Whales purchased 10 million ADA tokens during the dip
Cardano saw 300% surge in late 2024
Grayscale holds $11 million worth of ADA
Stock to Flow Ratio increased to 291.37
Recent market data shows Cardano (ADA) experiencing price volatility amid increased whale activity and growing institutional interest. The cryptocurrency dropped 8.82% in the past 24 hours, reaching $0.9914 from its previous level of $1.15.
During this price correction, large holders, commonly known as whales, acquired 10 million ADA tokens, according to crypto analyst Ali Martinez. This accumulation occurred as prices reached a temporary low of $0.98.
Whales bought 10 million #Cardano $ADA over the last 24 hours! pic.twitter.com/k7s2l00E1R
— Ali (@ali_charts) January 7, 2025
The recent price movement follows an impressive performance in late 2024, when ADA recorded a 300% increase. The token closed the year at $0.80 before climbing to $1.14 in early January 2025.
Cardano Price on CoinGecko
Institutional involvement in Cardano has increased, with Grayscale’s Digital Large Cap Fund (GDLC) adding ADA back to its portfolio. The fund currently holds over $11 million worth of ADA tokens, marking a notable institutional position in the cryptocurrency.
Technical indicators suggest sustained buyer interest despite the recent price decline. The Stock to Flow Ratio (SFR) has risen to 291.37, indicating increased scarcity in the market.
Prior to the current correction, ADA demonstrated strong weekly performance with a 16.92% gain. This upward momentum attracted attention from both retail and institutional investors.
The ADA/BTC trading pair has turned positive, suggesting relative strength compared to Bitcoin. This performance comes at a time when Bitcoin approaches what some analysts describe as a high-risk zone.
Market data indicates that ADA reached a peak of $1.33 during its late 2024 rally. The current price represents a pullback from these levels, though remaining above the year-end closing price of $0.80.
The token’s price movement has shown resilience throughout various market cycles. Starting from lower levels in early 2024, ADA has maintained an overall upward trajectory despite periodic corrections.
Whale activity during price dips suggests confidence in ADA’s market position. These large holders typically accumulate during price corrections, viewing them as buying opportunities.
The presence of institutional investors like Grayscale adds a layer of market validation. Their $11 million ADA position represents a measured approach to cryptocurrency investment.
Current trading volumes remain steady despite the price correction. Market participants continue to show interest at various price levels.
The Stock to Flow Ratio’s elevation to 291.37 provides a technical perspective on ADA’s market dynamics. This metric helps traders and investors assess supply and demand relationships.
Trading data shows support levels forming near the current price point of $0.9914. This level represents a key area of interest for market participants.
The most recent data indicates continued whale accumulation at these price levels, with the 10 million ADA purchase occurring within the past 24 hours.
The post Cardano (ADA) Whales Accumulate During Price Correction as Institutional Interest Grows appeared first on Blockonomi.