TLDR
- ADA price dropped 15% in 30 days, trading at $0.33, approaching one-year low of $0.29
- Daily active addresses in loss increased from 1,680 to 11,960 in past week
- Only 17% of ADA holders currently in profit
- Token is 89% down from all-time high of $3.1
- 18.53 million ADA tokens ($6.15M) unlocked Oct 27, same amount scheduled for Nov 1
The cryptocurrency Cardano (ADA) continues to face downward pressure as its price approaches a one-year low, with on-chain data showing increasing losses among holders and scheduled token unlocks adding to market concerns.
After reaching a 34-month high of $0.807 in March 2024, Cardano has experienced a steady decline. The digital asset is currently trading at $0.33, representing a 15% decrease over the past month alone.
With a market capitalization of $11.8 billion, ADA remains one of the larger cryptocurrencies by value, though daily trading volume stands at a modest $185 million.
Recent data from blockchain analytics firm IntoTheBlock reveals a sharp increase in the number of addresses experiencing losses. The metric for daily active addresses in loss jumped from 1,680 to 11,960 unique addresses within the past week, suggesting growing unease among holders.
The current price level has left many investors underwater on their positions. According to IntoTheBlock’s analysis, only 17% of ADA holders are in profit at the present price point.
A mere 3.6% of addresses are breaking even near their initial investment levels, while the vast majority are now holding at a loss.
The scale of the decline becomes apparent when comparing current prices to historical peaks. ADA is now trading 89% below its all-time high of $3.1, which was recorded on September 2, 2021. This extended downturn has tested the resolve of long-term holders.
Adding to market pressures, Cardano is experiencing regular token unlocks. Data from Tokenomist shows that 18.53 million ADA tokens, valued at approximately $6.15 million, were released into circulation on October 27. An identical amount is scheduled for unlock on November 1.
These unlocks, while relatively small compared to ADA’s total market capitalization, contribute to the overall supply dynamics. Currently, 34.99 billion ADA tokens are in circulation out of a maximum supply of 45 billion ADA.
The broader market context may also be influencing ADA’s price action. Uncertainty surrounding the upcoming U.S. presidential elections has created a cautious atmosphere across cryptocurrency markets, potentially amplifying selling pressure.
Trading volumes have shown modest activity, with a 5% increase in daily trading volume bringing the figure to $185 million. This level of trading activity suggests steady but not overwhelming market participation.
Despite the price challenges, development activity continues on the Cardano network. The platform recently announced integration with BitcoinOS’ Grail Bridge, a technical advancement aimed at utilizing Bitcoin’s liquidity through zero-knowledge mechanisms.
The Grail Bridge integration enables Bitcoin holders to conduct cross-network transactions without intermediaries, representing a technical step forward even as market prices struggle.
Market data indicates that selling pressure could increase if current holders decide to exit positions to prevent further losses. The high percentage of addresses in loss creates potential for accelerated selling if market sentiment doesn’t improve.
The token unlock schedule remains a factor to watch, with regular releases adding predictable supply increases to the market. The next scheduled unlock of 18.53 million tokens on November 1 will bring additional tokens into circulation.
Daily trading patterns show ADA maintaining its position as one of the more actively traded cryptocurrencies, despite the recent price decline. The $11.8 billion market capitalization reflects sustained market presence even during this challenging period.
Recent price levels put ADA near its twelve-month low of $0.29, a threshold that market participants are closely monitoring as a potential support level.
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