Cardano Traders Commit 1.28 Billion ADA in Open Interest

Cardano (ADA) has, in the last 72 hours, experienced intense price volatility. Notably, after the ninth coin by market capitalization failed to breach the $1 psychological level, it plummeted to a low of $0.8725. ADA soon recovered, and as the token retested the critical $0.9 level, Cardano traders committed 1.28 billion ADA in open interest (OI).

Cardano's open interest signals investor confidence

Data from CoinGlass revealed a 1.87% increase in OI from traders in the last 24 hours. This has pushed the value of open interest in ADA to $1.23 billion. Notably, this figure signals renewed confidence from Cardano investors on the market.

This slight increase shows that more traders are investing in ADA and are confident about the future outlook of the digital currency's price.

Four different crypto exchanges registered significant leads on the broader market. They include Gate.io, Binance, Bybit and Bitget. All four exchanges were in the $200 million range.

Notably, Gate.io led with $296.51 million, or 307.51 million ADA, committed by futures traders. This represents 24.16% of the cumulative open interest for ADA.

Binance, Bybit and Bitget followed, with $275.94 million, $265.73 million and $251.46 million, respectively. In that order, these represent 22.49%, 21.65% and 20.49%. These four exchanges accounted for the bulk of the OI, which is over 88% of all the crypto exchanges.

Can ADA reclaim $1 in current rebound?

Meanwhile, as of this writing, the ADA price was trading up by 5.18% at $0.9588 in the last 24 hours. The asset has surged from a price low of $0.8967 to its current levels, as it seeks to  reclaim the $1 price mark . Although it hit $0.9671 in earlier trading, market volatility has impacted it slightly.

Analysts predict that if Cardano records more sustained interest from investors, the coin could breach the resistance level it has struggled to stay above in the past seven days. Investors remain focused on whether ADA will flip the price in this rebound move.

Some industry activities, such as  filing a "double the daily return" exchange-traded fund for Cardano, might support the asset’s rally to higher levels.