XRP News Today: Whales Move $900M to Cardano, XRP as Altcoin Hope Rises

Cardano (ADA) and XRP continue to attract significant interest from large investors, with whale activity hitting multi-month highs, according to recent on-chain data. Despite a broader market downturn, including a recent Bitcoin drop to $114,600, large holders have shown resilience in accumulating these assets. XRP and Cardano have each experienced a decline of 3.7% and 6.2% in the past 24 hours, respectively, based on CoinGecko data, but the trend among high-net-worth investors remains bullish.

On-chain metrics indicate that whale activity for both cryptocurrencies has reached a five-month peak. Santiment data reveals that transactions worth $100,000 or more have surged, highlighting the growing confidence of major investors. XRP wallets holding between 1 million and 10 million tokens added 300 million to their holdings, bringing the total to 6.72 billion as of August 18. Meanwhile, Cardano whale wallets have accumulated 30 million tokens, pushing their total holdings to 5.55 billion. These accumulations are valued at $900 million for XRP and $27.3 million for Cardano, underscoring the scale of interest from institutional and high-net-worth players.

XRP’s year-to-date performance remains strong, with a return of approximately 15%, outpacing many other altcoins. This performance is attributed to the favorable regulatory environment following the conclusion of the SEC vs. Ripple lawsuit, which has provided clarity to market participants. However, concerns have emerged regarding the release of 1 billion XRP tokens from escrow, which has created some uncertainty among traders. Despite this, the net taker volume, representing the difference between buy and sell pressure, has declined over the past four days, suggesting that seller aggression is waning.

Cardano, in contrast, has faced a more challenging year-to-date performance of -24%. However, signs of a potential turnaround are emerging. A recent Grayscale filing for a Cardano Trust ETF has reignited interest in the asset, pushing ADA’s relative performance against Bitcoin to a four-month high. Analysts have noted that this could signal the beginning of an altcoin season, where investors shift capital from Bitcoin and Ethereum to other cryptocurrencies like Cardano and XRP.

Technical indicators also support the optimism surrounding ADA. The Chaikin Money Flow (CMF) has broken above the zero line, indicating that buying pressure is outpacing selling activity. Additionally, the Supertrend indicator has turned bullish, with its green line positioned below ADA’s price. This setup suggests that the market may treat the Supertrend line as a strong support level in the short term. If this trend persists, ADA bulls may defend the $0.77 support level, with the next target potentially being a break above the $1 psychological barrier.

Further reinforcing the bullish outlook, Cardano’s Open Interest (OI) has surged to $1.13 billion, a seven-month high according to Glassnode. This surge indicates increasing trader interest and speculative demand, which could amplify ADA’s price movement. If the OI continues to rise, Cardano’s price could break above $1 again, a level not seen since March. However, it is important to note that rising OI also increases the risk of a sharp pullback should sentiment shift.

On the daily chart, the Moving Average Convergence Divergence (MACD) has shown a bullish crossover, with the 12-day EMA rising above the 26-day EMA. This signals a potential shift in momentum in favor of buyers and strengthens the case for ADA to extend its rally. If the momentum continues, Cardano’s price may break the resistance at $1.04, with the next potential target being around $1.60.

However, if demand for ADA weakens, the projected rally may not materialize, and the price could retreat to $0.77. The market remains in a critical phase, with whale activity and technical indicators providing mixed signals. While the data suggests a strong case for a potential breakout, investors are advised to remain cautious and monitor key resistance and support levels for further confirmation.

Source:

[1] Cardano and XRP Whale Activity Hits Multi-Month High (https://finance.yahoo.com/news/cardano-xrp-whale-activity-hits-160753452.html)

[2] Cardano Price Prediction — Why ADA Is Likely to Hit $1.60 (https://www.ccn.com/analysis/crypto/cardano-price-ada-breakout-open-interest-surges/)