- Cardano sharks accumulated $83 million ADA in 6 weeks.
- Cardano released its CIP this week.
- Cardano’s stablecoin scheduled to be launched in Jan 2023.
Despite the downward trajectory in Cardano, the sharks remained unbudged, and holders of 10,000 to 100,000 ADA coins intensified accumulation to hold their largest percentage of ADA’s supply. Shark wallets ramped up their buying and, over 6 weeks, increased the collective holdings by more than 10%. Such heavy-magnitude accumulations usually have a positive impact on the price of a digital asset. Also, Cardano’s stablecoin is due to be launched in Jan 2023, which may cause some movement in the market very soon.
In the current week, Cardano also released its Cardano Improvement Proposal (CIP), which proposed a decentralized communication method between dApps and wallets.
@YetAnotherAiGuy and @SirCaso from the CF team have created a #CIP!
Think of the benefits it could bring to the ecosystem: p2p chats and payment agreements. Plus, it's transparent and open source:)
Full #CIP specs below!https://t.co/4u6K6VQDZn#opensource #Cardano pic.twitter.com/GJ03xceilm
— Cardano Foundation (@Cardano_CF) December 22, 2022
Waves reach ADA prices
The price picture shows a falling parallel channel being formed with all EMAs holding a spot above the current price. The trading volume is seen declining along with falling OBV. This suggests that the pressure on the volume is not favorable and may hint at unfortunate events in future. The prices show an anti-picture of what is expected from all the news that surfaced regarding Cardano.
Analysis images neutral situations as of now. CMF indicator is akin to the baseline, showing no signs of any market trend. The MACD lines move closer to each other. Showing declining sellers but does not show any rise in interest by the users. The RSI indicator slips to the boundary and marks ADA as being oversold.
Recent movements
The closer window shows prices being consolidating for a long time. The CMF indicator slides up, respecting the temporary uptrend being formed. The MACD shows subtle buying and steadily rising interest with the improvement in prices. RSI holds a spot near the half line showing equal participation of buyers and sellers. All of them combined reflect that prices improve temporarily but may not last long as it lacks strong backing.
Conclusion
The market may be suffering, but amends are made to improve and excel. Some fail, and some succeed, but they reflect all possibilities of change and what benefit they bring. ADA’s plans and updations are trying hard to correct the prices. All users can do now is wait and see what the future holds.
Technical levels
Support levels: $0.23 and $0.17
Resistance levels: $0.44 and $0.51
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2022/12/24/can-sharks-save-ada-from-drowning-big-waves-are-yet-to-come/