Cardano (ADA) has witnessed a large 300% surge in Exchange Traded Product (ETP) inflows. The unexpected influx of capital from institutional investors could set the stage for a possible uptrend ahead of the Chang hard fork.
Cardano Inflows Skyrocket 300%
On July 29, CoinShares, a number one firm within the crypto ETP industry, released a weekly report on the fund flows of assorted digital assets. Based on CoinShares, digital asset investment products saw a comparatively muted inflow of roughly $245 million within the last week.
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Among the many list of digital assets which recorded recent flows, Bitcoin (BTC) recorded the most important increase in inflows. The pioneer cryptocurrency experienced a healthy inflow of $519 million, achieving a month up to now inflows of $3.6 billion.
More impressively, Cardano recorded a surge in inflows into its ETP, totaling roughly $1.2 million. This massive inflow surge represents a whopping 300% addition from the previous week. Moreover, Cardano’s strong performance has effectively placed it second amongst all crypto ETPs.
Sharing a “Flows by Asset” chart of Cardano and various other outstanding cryptocurrencies, CoinShares reports that institutional investors have invested a complete of $11 million into Cardano-oriented investment products. Moreover, Cardano’s month up to now inflow has seen about $2.4 million.
During its report, CoinShares also revealed that the launch of Ethereum Spot Exchange Traded Funds (ETFs) witnessed a few of the largest inflows since December 2020. This also led to newly issued ETFs experiencing a staggering $2.2 billion in inflows while trading volumes in Ethereum (ETH) rose by 542%.
Within the case of Cardano, following its 300% surge in ETP inflows, the value of the cryptocurrency witnessed a slight rebound from previous bearish trends. Following a surge to about $0.8 a while in March 2024, Cardano’s price has been undergoing a corrective phase, declining below the $0.4 price mark.
With the Chang hard fork underway following the deployment of Cardano node 9.1.0, the market sentiment surrounding the cryptocurrency has been somewhat more positive. Analysts like ‘Sssebi’ on X (formerly Twitter) have deduced that Cardano was probably the most undervalued asset amongst the highest 10 cryptocurrencies. The analyst disclosed that investors should remain bullish on Cardano, predicting upsides for the cryptocurrency.
Update On ADA Price Evaluation
Despite experiencing constant declines in its price over the past few months, Cardano has steadily consolidated across the $0.4 price level, underscoring the cryptocurrency’s strength and resilience during unfavorable market conditions. CoinMarketCap reports reveal that the cryptocurrency is currently trading at $0.4, reflecting a 4.34% decrease within the last 24 hours.
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Analysts like Sssebi proceed to maintain a bullish outlook for the cryptocurrency, anticipating future price increases throughout the bull cycle. Based on Sssebi, Cardano is ready to outperform within the crypto market, catalyzed by its booming ecosystem consisting of a whole bunch of Decentralized Applications (DApps).
ADA price struggles to carry $0.4 | Source: ADAUSDT on Tradingview.com
Featured image created with Dall.E, chart from Tradingview.com