These 3 bullish factors suggest another rally

TL;DR

Cardano’s price soared to $1.17, with a market capitalization of more than $40 billion amid bullish network indicators. 73% of ADA investors are now in profit, a strong recovery from the August lows when most token holders were underwater. ADA is headed north

The cryptocurrency market saw a remarkable recovery in the past 24 hours, with multiple leading digital assets posting impressive gains. Bitcoin (BTC), for example, jumped back above $100,000, while Ethereum (ETH) is moving towards the $4,000 level.

Cardano’s ADA is also one of the top performers, with its price rising nearly 15% on a daily basis. At one point, the valuation reached $1.17 before stabilizing at the current $1.14 (according to CoinGecko data). Meanwhile, ADA’s market capitalization rose above $40 billion, cementing the asset’s presence among the top 10 cryptocurrencies.

ADA price, Source: CoinGecko

Its most recent resurgence aligns with three bullish indicators. The first is “Net Network Growth”, which according to IntoTheBlock has increased by 0.26% daily. The platform explains that the metric is a momentum signal “that gives a pulse of the true growth of the token’s underlying network.”

Next on the list is “Concentration” (an indicator that measures daily changes in the positions of whales who own more than 1% of the circulating supply and investors who own between 0.1% and 1%). The metric has risen by 0.26%, entering the bullish zone.

Last but not least, we’ll talk about “Large Transactions” (a technical tool that shows the number of transactions over $100,000). The number has increased by 0.52%, suggesting an increase in network activity.

We recently released a video with some of the major developments surrounding Cardano. Check it out here:

ADA Investors in the Green

Contrary to the bullish elements mentioned above, one is in bearish territory. This is the “InTheMoney” indicator, which shows the change in the number of ADA investors who currently have paper profits.

As of this writing, 73% of all people exposed to the asset are in the green, 16% are underwater, and 11% are in balance. Despite the slight setback, the percentage of profitable investors remains much higher than what was observed at the beginning of August this year.

At the time, almost no one who held ADA was sitting on paper profits due to the token falling below $0.30. At the time, a whopping 87.6% were in the red, while roughly 12% were in balance.

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