๐ณ Cardano Whales Accumulate โ While Retail Investors Remain on the Sidelines
Cardano falls, stalling its weekly rise and raising concerns about a morning star pattern.
Large investors are buying #ADA while shops are selling it, according to on-chain data.
Open Interest in derivatives increased.
After a Doji candle, Cardano drops under 1% at press time on Wednesday. Whales are supporting Cardano, while regular investors are selling, showing a fall in risk appetite.
The ADA open interest jump signals increasing purchasing activity and a leverage-driven advance.
Cardano retail investors sell
Since June 1, investors holding 10 to 10,000 ADA have sold 10 million tokens, reaching 2.46 billion ADA, according to Santiment. A token trading below $1 is usually held by ordinary investors.
In June, they bought 270 million ADA tokens from significant investors with more than 10 million ADA, increasing their holdings to 18.23 billion ADA from 17.96 billion.
Distribution of Cardano. From Santiment
The rising confidence of significant investors in Cardano encourages long-term optimism. Retail investors' falling holdings and lack of holding capacity increase their risk of missing the next upswing.
ADA's Open Interest exceeds $700 million.
In the past 24 hours, CoinGlass data shows ADA Open Interest growing 1.48% to $717.28 million. Increasing OI indicates increased futures market purchasing activity and capital inflows.
The long/short ratio of 1.0367 suggests neutrality with slightly more long holdings. Long holdings lost in the previous 24 hours total $296.56K, while short liquidations total $303.64K.
At press time on Wednesday, Cardano is down slightly after earning nearly 7% on Monday. May 18 and June 22 lows produced a local support trendline that triggered the rebound
Daily price activity shows a sinking channel with swing highs on May 23 and June 11. The recovery targets $0.64's upper trendline. Closing above the trendline might continue the uptrend to $0.7309, the Pivot Point