1,990,000,000 Cardano in 24 Hours, Grayscale ETF Bid Triggers Adoption

Cardano has witnessed a spike in open interest in the last 24 hours, with 1.99 billion ADA committed by futures traders. CoinGlass data indicates that open interest surged by 1.29% as speculation about a possible Grayscale spot Cardano exchange-traded fund (ETF) approval grows.

Exchange data shows positioning for ADA ETF rally

As per the data, the total open interest of 1.99 billion ADA is worth $816.97 million. The increase in open interest comes as speculation about Grayscale’s ADA ETF approval filtered into the market. Some investors consider that such an approval could positively influence adoption and the price outlook for the coin.

However, as per an update provided by Cardanians, a platform that shares Cardano-based news, the application remains under review. It clarified that Grayscale’s application with the U.S. Securities and Exchange Commission (SEC) has not been decided upon.

According to Cardanians, the asset manager is looking forward to a possible approval from the SEC in the coming weeks. This implies that while anticipation is high for a positive decision from the regulatory body, interested investors still have to continue waiting much longer.

Nevertheless, traders consider the news enough spark to boost their interest in Cardano, which led to the uptick in open interest. Notably, Gate exchange users are most optimistic as a total of 502.05 million ADA worth $205.74 million were committed, which represents 25.18%.

Other exchanges with high volumes of interest include Binance, Bybit and LBank, with 16.33%, 12.8% and 8.91%, respectively. In fiat terms, the values stand at $133.43 million, $105.26 million and $72.82 million, in that order.

It appears that traders are taking advantage of Cardano’s underperformance to stack up on the coin in anticipation of a possible ETF-induced rally.

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ADA price struggles despite bullish technical signals

Despite climbing to a daily peak of $0.4357, Cardano failed to breach major resistance at $0.45 and continued on descending volatility.

As of this writing, Cardano is changing hands at $0.4127, representing a 1.56% decrease in the last 24 hours. Trading volume has also dipped by 7.5% to $846.79 million within the same time frame.

According to a U.Today report, Cardano has the potential for more upside, considering the formation of a golden cross. However, weak momentum, such as low trading volume and profit-taking moves from short-term investors, appears to be a hindrance.

There is still hope that ADA’s price could soar to $0.60 should the coin follow the same path as XRP. As per the asset’s weekly Bollinger Bands indicator, Cardano is structurally set to mirror XRP.