ADA, the native token of the Cardano blockchain, has been making waves amid the ongoing market recovery following a significant price decline in December 2024. This market recovery has gained massive attention from crypto enthusiasts, resulting in significant accumulation of ADA tokens.

ADA Whales Accumulate 40M Tokens

Recently, a prominent crypto expert posted on X (formerly Twitter) that whales have accumulated over 40 million ADA tokens from exchanges in the past 48 hours. This substantial accumulation indicates that whales began accumulating after the altcoin breached the trendline and broke out from a consolidation zone on the daily timeframe.

The expert’s report reveals how whales are accumulating ADA and highlights an ideal buying opportunity for retail investors. It has also been observed that the asset witnessed an impressive 16% upside momentum following this purchase.

Why ADA Appears Struggling?

The notable upside momentum, coupled with current rumors about a healthcare crisis in China, might be the reason behind today’s price decline and ongoing correction.

Current Price Momentum 

Currently, ADA is trading near $1.07 and has experienced a price decline of over 2.1% in the past 24 hours. During the same period, its trading volume has also been impacted, registering a drop of over 50%. This indicates lower participation and further reflects fear among traders and investors.

ADA Technical Analysis and Upcoming Level

Despite all this activity at the international level, ADA appears bullish and poised to continue its upward momentum. According to expert technical analysis, the altcoin has already surged by an impressive 32% in the past three days and currently seems to be correcting itself for further gains.

ADA Price Prediction 

However, there is also a possibility that the market may extend ADA’s price correction for a few more days. Despite this, if the altcoin holds above the $1 mark, there is a strong chance it could soar by 25% to reach the $1.32 level in the coming days.

The market sentiment appears bullish as the inauguration of United States President-elect Donald Trump, scheduled for January 20, 2025, has the potential to create a significant impact on the asset’s price.

In December, decentralized exchanges (DEXs) saw a significant increase in futures trading volume, reaching a record 10.17% of the volume seen on centralized exchanges (CEXs). The rise comes given the significant improvements in on-chain user experience and infrastructure over the past few years. 

The increase in DEX futures trading can also be attributed to the growing adoption of platforms like Hyperliquid, Jupiter, ApeX, Satori Finance and Drift, which have consistently grown in recent months.

Hyperliquid Leads The Pack

Remarkably, these platforms grew at an average rate of 26.5% per month throughout 2024. By December, the total trading volume on decentralized exchanges (DEXs) reached $285 billion, driven by strong growth from a few leading platforms.

Hyperliquid led the pack by contributing a huge 78.8% of the total DEX futures volume. In December, Hyperliquid alone recorded over $225 million in monthly volume, while other platforms like Jupiter, ApeX, Satori Finance, and Drift accounted for smaller portions. Following Hyperliquid, Jupiter captured 9.8% of the market, recording over $28 million in December.

CEXs Dominate In Volume

While DEX futures trading is growing, centralized exchanges (CEXs) still dominate in overall volume. In December, Bitcoin futures on CEXs totaled over $2.14 trillion, and Ethereum futures reached $1.28 trillion. However, Bitcoin futures volumes on CEXs dropped 17% compared to November, and Ethereum volumes remained steady. This shows that while DEXs are gaining market share, CEXs still have much higher trading volumes.

In December, centralized exchanges (CEXs) led with Bitcoin futures at $2.14 trillion and Ethereum futures at $1.28 trillion. Despite this, decentralized exchanges (DEXs) are steadily increasing their market share.

Today, January 4, 2024, SUI, the layer-1 blockchain, has gained significant attention from crypto investors and traders following its impressive upside momentum. In the past 24 hours, while the majority of assets, including Bitcoin (BTC), Ethereum (ETH), and XRP, have struggled to gain momentum, SUI has topped the market with a 20% upside move.

SUI Tops the Crypto Market

With this notable price surge, SUI is trading near $5.27 and has witnessed significant participation from traders and investors, resulting in record jumps in trading volume. Data from CoinMarketCap revealed that the altcoin’s trading volume has surged by 150%. This notable participation from traders and investors is also one of the major reasons behind the rally.

Long-Term Holders Move Assets

With this notable upside momentum, long-term holders, investors, and retailers have been found dumping SUI tokens, indicating potential profit booking, as revealed by the on-chain analytics firm Coinglass. Data from the spot inflow/outflow reveals that exchanges have witnessed an inflow of $15.60 million worth of SUI tokens.

In the cryptocurrency industry, the inflow of assets from long-term holders’ wallets to exchanges indicates a potential sell-off, which could create selling pressure and lead to a price decline. Despite all this offloading, the SUI price remains strong above $5.

What’s Driving the SUI Rally?

However, another potential reason for the SUI upside rally is the controlled release or unlock of 82 million SUI tokens, which is equivalent to 0.82%, along with the collaboration with ANT Digital Technologies for global adoption, recent recognition from Cardano founder Charles Hoskinson, and the breakout of a crucial resistance level.

SUI Technical Analysis and Key Levels

According to expert technical analysis, SUI has recently broken out from a crucial resistance level of $4.90, which it has tried to breach multiple times historically. In addition to the breakout, the altcoin has successfully closed a daily candle above the $5 mark, with strong interest from traders and long-term holders.

Based on the recent price action, a correction is possible, as the price seems to be overextended. However, SUI could soar by 10% to reach the $5.75 mark in the future.

Will the SUI Rally Continue?

The current market sentiment, with price recovery, rising investor interest, recent collaborations, recognition from the founder of a major blockchain, and the recent breakout, suggests that this rally could sustain, and the price may continue to soar in the future.

With Trump administration soon taking the charge and Paul Atkins to take over as the next SEC Chair, the crypto community awaits an end to the long-standing Ripple vs SEC case. Notably, a top attorney following the case predicts it could be resolved by April or May this year.

Donald Trump’s win and the appointment of Paul Atkins as SEC Chair are seen as favorable for Ripple and XRP. Ripple CEO Brad Garlinghouse expressed his desire to collaborate with the new SEC, which has raised hopes for progress and clarity, as well as the possible dismissal of the XRP lawsuit appeal.

Notably, attorney Jeremy Hogan responded to an X post over the odds of the Ripple vs SEC case getting dismissed, settled or dropped by February. 

“I’d say it’s possible but maybe unlikely,” he noted. “40 days is not a lot of time to get reports together, memos, have the requisite SEC meetings, etc..  I’m going with April/May as a likely timeframe,” he added further.

He thinks the decision may take time due to the need for reports, memos, and SEC meetings, but still expects a dismissal or settlement by April or May.

A Shift In Approach

Recently, in an interview with Thinking Crypto, Amanda Tuminelli from the DeFi Education Fund noted that while dropping lawsuits completely might not quickly happen, a shift in approach is likely.

Tuminelli believes the SEC may seek favorable settlements, called “consent decrees,” where both parties negotiate a resolution and the court ensures the terms are followed, allowing cases to be resolved without being fully dropped.

With the January 15 deadline approaching, US SEC Chairman Gary Gensler and Chief Litigation Counsel Jorge Tenreiro are likely preparing to file an opening brief in the XRP lawsuit. The SEC may make a last-minute filing before pro-crypto Paul Atkins takes over, which could potentially create challenges for Ripple. 

Gensler’s brief submission may be the SEC’s final attempt to strengthen its case as Ripple’s defense gains strength. With the outcome still uncertain, this move shows the SEC’s determination to maintain control over digital asset regulation.

Nevertheless, the XRP community is hopeful for positive developments, including an XRP ETF launch and price rally. Notably, if the XRP lawsuit is dismissed, it could lead to XRP ETF approval and a price surge above $10 as investors gain legal clarity.