ADA has continued to consolidate around the $1 price level, having been fairly stagnant in the last 7 days. However, on-chain data provided by CoinGlass reveals that the coin’s open futures interest has now reached $1.42 billion. This new milestone is a new all-time high, and has since increased the investor confidence.
Additionally, ADA’s Total Value Locked (TVL) rose reaching $701 million earlier this month according to Defillama analytics. While the growth rate has been slightly lower, it powers optimism in terms of the ecosystem growth.
Why ADA is Set for A Major Bull Rally?
Amid the surge in open interest, ecosystem improvements could stand at the heart of ADA’s prospective bull run. Hydra upgrade for instance, can help Cardano handle up to one million transactions per second. This massive leap in terms of speed and scalability will make the blockchain ideal for decentralized finance (DeFi), non-fungible tokens (NFTs), and business. If Hydra overcomes scalability issues, it might attract developers and businesses to Cardano.
On the other hand, contrary to many ambitious projects, Cardano has established practical collaborations in different fields and areas. The blockchain technology revolutionizes industries including education, healthcare, and finance. This blockchain is also dedicated to building real, functional products which could strengthen its position in the crypto market.
The market is also getting hype for $ADA with analysts comparing the recent performance to the early days of the 2021 bull cycle. Crypto analyst Ali Martinez, for instance, compared the current trend of ADA to what was experienced in 2021.
Martinez pointed out that ADA has already experienced 43% correction hence the next leg up could be in just a few weeks. Based on the historical data, Martinez predicted that ADA could hit $6 soon.
Institutional Interest and Bullish Sentiment for Cardano
Cardano has recently experienced growth in terms of institutional interest. The coin was recently included in the Grayscale Digital Large Cap Fund, portraying its long term growth prospects. Also, whales are accumulating ADA as they have confidence in the asset’s future.
Even market analysts have shifted their stance to a positive one. Veteran analyst Peter Brandt, for instance, believes that ADA is poised for a surge. He stated, “Cardano $ADAUSD has bottomed for a grand bull market.” Peter also strongly believes that the Altseason has already begun and we could see altcoins like ADA surge.
ADA is priced at $1.05, a 0.99% increase since the start of Monday trading session. The coin’s trading volume has surged by over 40% in the last 24 hours and is currently at 3.1 billion. With historical trends showing that Cardano could be on the brink of a major bull run, the crypto community is just waiting for the coin to make its next move.
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