While the increase in large-holder inflows suggests potential positive developments for Cardano, it is important to note that large entities might also transfer funds for business purposes.
Cardano (ADA) is seeing a significant surge in large-holder inflows, according to data from IntoTheBlock. These inflows have jumped by 1,218%, with funds entering whale addresses spiking from 14.51 million ADA on July 8 to 110.7 million ADA on July 9. This surge followed a period of flattened inflows that began on July 5.
Large-holder inflows can signal substantial buying activity. These addresses often buy on centralized exchanges and then transfer their assets to cold storage. Spikes in large-holder inflows can also indicate price bottoms, as whales tend to buy in bulk after significant price drops. Given the recent market fluctuations and ADA’s decline to lows not seen since November 2023, both scenarios are possible for Cardano.
ADA’s price shows signs of stability, rising 3.4% in the last 24 hours to $0.3819. While the increase in large-holder inflows suggests potential positive developments for Cardano, it is important to note that large entities might also transfer funds for business purposes.
The Chang Upgrade and Enhanced Governance
Cardano is also progressing toward its anticipated Chang upgrade, marked by the release of Cardano Node 9.0. The Chang upgrade aims to stagger the release of governance functionality, making adoption and onboarding easier for those assuming new or additional governance roles. The upgrade is divided into two phases.
During the initial bootstrapping phase, between the Chang 1 and Chang 2 upgrades, three types of governance actions will be available. These actions include adjusting protocol parameters, initiating hard forks, and providing essential information to the community. The Chang 1 upgrade will introduce governance features and begin the technical bootstrapping phase as outlined in the CIP-1694 Bootstrapping Phase. The Chang 2 upgrade will complete this phase, enabling the final features of on-chain governance, including DRep participation and all governance actions.
With these developments, Cardano is positioning itself for a robust future, driven by strong market activity and ongoing technical advancements.
