Flow

Cardano

bullish

Gains

You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/cardano-shows-potential-for-gains-amid-market-recovery/" data-wpel-link="internal">Cardano Shows Potential for Gains Amid Market Recovery</a> 
Cardano dropped to $0.27 on August 5 during a broader market sell-off that led to over $1 billion in liquidations. As the market stabilized, <a href="https://en.coin-turk.com/cardanos-struggle-amidst-ecosystem-growth-and-stablecoin-challenges/" data-wpel-link="internal">ADA</a> recovered 19%, bringing its price back to $0.37. The token’s current technical setup indicates potential for further gains. Here, we examine notable on-chain data and ADA chart analysis. 
<h2 class="p1" style="text-align: justify" id="what-s-happening-with-cardano">What’s Happening with Cardano?</h2> 
Coinglass <a href="https://newslinker.co/how-does-artificial-intelligence-work/" target="_blank" rel="noopener" data-wpel-link="exclude">data shows</a> Cardano’s futures open interest increased by 21% last week, reaching $191 million. Futures open interest measures the number of outstanding futures contracts, and the increase suggests more <a href="https://finance.coin-turk.com/" data-wpel-link="exclude">investors</a> are entering new positions. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-382736 size-full" src="https://coin-turk.com/wp-content/uploads/2024/08/ada-rate.png" alt="" width="2798" height="824"> 
The predominantly positive funding rates for ADA over the past seven days indicate that most investors prefer long positions. Currently, the funding rate stands at 0.0067%, suggesting more investors expect ADA’s price to rise rather than fall. Funding rates are used in perpetual futures contracts to keep contract prices in line with spot prices. Positive funding rates imply higher demand for long positions, indicating a bullish market sentiment. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-382735 size-full" src="https://coin-turk.com/wp-content/uploads/2024/08/ada-veri-1.png" alt="" width="2798" height="824"> 
The increase in ADA demand last week is linked to profitable trading activities. The daily trading volume ratio according to the profit/loss ratio reveals that more ADA transactions are profitable. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-382733 size-full" src="https://coin-turk.com/wp-content/uploads/2024/08/veri-ada.png" alt="" width="3840" height="1300"> 
Currently at a ratio of 1.11, this means that for every losing trade, 1.11 trades result in profit, strengthening optimism around ADA’s price potential. 
<h2 class="p1" style="text-align: justify" id="ada-chart-analysis">ADA Chart Analysis</h2> 
Cardano’s key momentum indicators on the daily chart highlight increasing buying pressure. The Chaikin Money Flow (CMF) shows a positive value of 0.11, indicating increased liquidity inflow into the ADA market. A CMF above zero usually signifies strong buying pressure and suggests the current rally could be sustained. 
Additionally, ADA’s Relative Strength Index (RSI) is currently at 58.24, indicating that buying activity outweighs selling pressure. If this trend continues, ADA could retest its two-month high of $0.40. 
<img loading="lazy" decoding="async" loading="lazy" class="aligncenter wp-image-382732 size-full" src="https://coin-turk.com/wp-content/uploads/2024/08/ada-grafik-1.png" alt="" width="2770" height="1300"> 
<h5>The post first appeared on COINTURK NEWS: <a href="https://en.coin-turk.com/cardano-shows-potential-for-gains-amid-market-recovery/" data-wpel-link="internal">Cardano Shows Potential for Gains Amid Market Recovery</a></h5>
The post <a href="https://en.coin-turk.com/cardano-shows-potential-for-gains-amid-market-recovery/" data-wpel-link="internal">Cardano Shows Potential for Gains Amid Market Recovery</a> appeared first on <a href="https://en.coin-turk.com" data-wpel-link="internal">COINTURK NEWS</a>.

Cardano Shows Potential for Gains Amid Market Recovery

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