Institutional Investors Show Interest In Cardano, Triggering 300% Surge
Trending Articles- Gold Price Forecast: XAU/USD slumps to near $4,000 on US-China trade progress
- Gold declines as traders brace for trade talks, US CPI inflation data
- US CPI headline inflation set to rise 3.1% YoY in September
- Australian Dollar maintains position due to US-China trade optimism
- Fed’s October Rate Cut: Easing Cycle Continues, Gold Likely to Keep Rising
- Silver slips below $47.00 due to optimism over US-China trade deal
Cardano (ADA) has witnessed a massive 300% surge in Exchange Traded Product (ETP) inflows. The unexpected influx of capital from institutional investors could set the stage for a potential uptrend ahead of the Chang hard fork.
Cardano Inflows Skyrocket 300%
On July 29, CoinShares, a leading firm in the crypto ETP industry, released a weekly report on the fund flows of various digital assets. According to CoinShares, digital asset investment products saw a relatively muted inflow of approximately $245 million in the last week.
Among the list of digital assets which recorded new flows, Bitcoin (BTC) recorded the largest increase in inflows. The pioneer cryptocurrency experienced a healthy inflow of $519 million, achieving a month to date inflows of $3.6 billion.
More impressively, Cardano recorded a surge in inflows into its ETP, totaling approximately $1.2 million. This massive inflow surge represents a whopping 300% addition from the previous week. Furthermore, Cardano’s strong performance has effectively placed it second among all crypto ETPs.
Sharing a “Flows by Asset” chart of Cardano and various other prominent cryptocurrencies, CoinShares reports that institutional investors have invested a total of $11 million into Cardano-oriented investment products. Additionally, Cardano’s month to date inflow has seen about $2.4 million.
During its report, CoinShares also revealed that the launch of Ethereum Spot Exchange Traded Funds (ETFs) witnessed some of the largest inflows since December 2020. This also led to newly issued ETFs experiencing a staggering $2.2 billion in inflows while trading volumes in Ethereum (ETH) rose by 542%.
In the case of Cardano, following its 300% surge in ETP inflows, the price of the cryptocurrency witnessed a slight rebound from previous bearish trends.
Following a surge to about $0.8 some time in March 2024, Cardano’s price has been undergoing a corrective phase, declining below the $0.4 price mark.
With the Chang hard fork underway following the deployment of Cardano node 9.1.0, the market sentiment surrounding the cryptocurrency has been somewhat more positive. Analysts like ‘Sssebi’ on X (formerly Twitter) have deduced that Cardano was the most undervalued asset amongst the top 10 cryptocurrencies. The analyst disclosed that investors should remain bullish on Cardano, predicting upsides for the cryptocurrency.
Update On ADA Price Analysis
Despite experiencing constant declines in its price over the past few months, Cardano has steadily consolidated around the $0.4 price level, underscoring the cryptocurrency’s strength and resilience during unfavorable market conditions. CoinMarketCap reports reveal that the cryptocurrency is currently trading at $0.4, reflecting a 4.34% decrease in the last 24 hours.
Analysts like Sssebi continue to maintain a bullish outlook for the cryptocurrency, anticipating future price increases during the bull cycle. According to Sssebi, Cardano is set to outperform in the crypto market, catalyzed by its booming ecosystem consisting of hundreds of Decentralized Applications (DApps).
Read more
* The content presented above, whether from a third party or not, is considered as general advice only. This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.
