ADA is down the most today among the larger-cap alts.
ByJordan Lyanchev
It was just yesterday that we wrote about ADA breaking out, as the asset had climbed to a multi-month peak of over $0.27 and analysts had just turned highly bullish, with massive price predictions flying left and right.
However, the asset was rejected badly. In fact, ADA is down by over 8% in the past 24 hours and now sits below $0.255. This is rather surprising given the latest developments on the whale front.
Whales Waking Up
Data provided by Santiment Intelligence indicates that there’s a significant increase in activity among the largest market participants in the broader Cardano ecosystem. Transactions worth at least $100,000 jumped to 314 on October 5, the highest level of such activity in over four months.
It’s worth noting that higher whale transaction counts show that large holders are becoming more active again, but do not reveal whether they are buying or selling. Cardano crowd interest is on the rise again as ADA’s social dominance reached 1.16%. This became its highest reading for the year after the token rallied from under $0.19 to over $0.27 within a few weeks.
Santiment explained that fresh developments, including the October 1 RealFi mainnet launch, anticipation surrounding Leios, Fireblocks support, and additional institutional integrations, have helped put Cardano back on the social media map. After all, the asset’s market cap gained over 42% since September 16 before today’s pullback drove it south.
https://x.com/SantimentData/status/2107575337035129259
Was Leverage to Blame?
As mentioned above, ADA has slumped over 8% in the past day, making it the worst-performing altcoin among the 30 largest digital assets. Some of the blame could be on leveraged positions. As reported yesterday, ADA open interest increased by 25% in just days to over $300 million.
