Cardano is turning around its course of action after losing 85% of its value. The anticipation of the Vasil hard fork seems to be working its charm, and the third-gen cryptocurrency is making its way back up.
Cardano climbs up
After losing $73 billion from its market cap, ADA currently has a total value of $21 billion. And, investors across the globe have been waiting for the moment when their supply will turn into profit.
Post the 47% crash of May, Cardano recovered by 41.01% in the span of 11 days and is currently trading at $0.644. Although the active uptrend is losing strength, ADA still has some room for growth as the market continues to recover.
Cardano price action | Source: TradingView – AMBCrypto
Its effect is visible on-chain as well- For the first time in a while, sustained network-wide profits might be visible in a few weeks.
Cardano network-wide profits | Source: Santiment – AMBCrypto
In addition to this, the market value of Cardano is also improving. After slipping to the lowest point since April 2020, ADA is following the recovery path. And, with the support of the bullishness from the Vasil hard fork, the MVRV ratio might even reach the neutral point and flip the trend into positive by the end of June.
Cardano market value | Source: Santiment – AMBCrypto
In fact, investors have also become significantly active on-chain, moving around their holdings which is backed by the rising velocity which had been subdued since January 2021.
Cardano velocity | Source: Santiment – AMBCrypto
But, despite the increasing activity noticed by retail investors, Cardano whales’ activity has actually been decreasing since September.
After the last spike observed in January, whale transaction volume has reduced to an average of $200 million to $300 million, which six months ago averaged at $1 billion.
Cardano whales’ transaction volume | Source: Santiment – AMBCrypto
Furthermore, the altcoin is closing right at the 50 days Simple Moving Average (SMA). The next 100-day SMA is placed right near the critical support of $0.784. Recovering these two zones will enable ADA to rally on towards $1.
