ADA is down about 21% in a month.
The group of whales owning more than 1,000 #ADA coins has shrunk significantly.
Cardano's [ADA] price performance has been disappointing in recent weeks, causing serious concern for coin holders: according to CoinMarketCap, the ninth largest cryptocurrency has lost 11% of its price in one week and almost 21% in one month. Thus, ADA has become one of the biggest market losers.
Usually, such correction phases are used by experienced users to accumulate funds at low prices. However, in the case of ADA, this did not happen.
Over the past 2-3 weeks, whales' interest in this coin has decreased significantly. This is evidenced by a drop in the number of transactions above $1,000, as AMBCrypto notes using Santiment data. In addition, the cohort of holders between 1,000 and 1 million coins has shrunk significantly over this period.
Popular tech analyst Ari Martinez viewed these observations as a bearish signal. He predicted that they could lead to price stagnation or, in the worst case, a further decline.
Bearish sentiment was also seen in the ADA derivatives market. AMBCrypto's analysis of Highblock Capital data showed that the total number of whales with long ADA positions on #Binance dropped from 76% in mid-March to 67% at the time of writing.
In fact, according to the whales vs. retail investors indicator, retail investors had more long positions than whales.
The whales' reluctance to buy ADA speaks to their low confidence that ADA can recover, and this sentiment could spread to the market as a whole.
The latest blow to #altcoins was their exclusion from the #Grayscale Digital Large Cap Fund (GDLC), the flagship fund of Grayscale, the world's largest digital asset manager.
The exclusion from the fund, which reflects the value of a large basket of digital cryptocurrencies, may signal a decline in ADA's importance in the market.
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