On-Chain Data Reveals Only 25% of ADA Holders Are Profitable

Cardano’s native token has declined nearly 10% over the past week, reaching $0.4. At this price, only 25% of holders are in profit, according to data from IntoTheBlock.

28% of the total ADA supply is held by large investors. The coin exhibits a moderate level of whale control, which could affect price stability and potential manipulation risks.

The majority (~70%) of ADA holders have kept their assets for over a year, ~27% hold the token for 1-12 months, and the remaining 3-4% for less than 30 days. 

Over the past week, the volume of large transactions (>$100,000) reached $34.76 billion. 

Meanwhile, the average number of network transfers per month has decreased. On May 17, the figure was around 48,000, but by June 16, it had fallen to 30,000.

According to DeFi Llama, Cardano’s total value locked (TVL) has been declining since mid-March. At that time, the blockchain’s TVL reached an all-time high of $490 million, but it has now fallen to $225 million. 

ADA’s price fluctuates between high resistance points and low support levels. 

Each recovery attempt encounters significant resistance followed by a pullback. ADA’s correlation with Bitcoin stands at 0.68. 

The asset’s market capitalization is $14.3 billion. On CoinGecko’s ranking, the coin lost the 10th spot to Toncoin (TON), which has a market cap of $18.8 billion. 

In April, Cardano co-founder Charles Hoskinson revealed two major network updates. The Chang hard fork, scheduled for the second quarter, will be the largest upgrade since the Vasil launch in September 2022. 

Previously, Hoskinson and former BitMEX CEO Arthur Hayes debated the blockchain’s utility, with Hayes describing the ADA token as “dog excrement.”