Cardano has been struggling since March, and its price is getting close to its one-year low. On-chain indicators show that holders are panicking, which could trigger a selling pressure.
THE NUMBERS DON'T LIE
- Cardano's price has dropped 15% in the past 30 days.
- Its daily trading volume has increased by 5%.
- The number of daily active addresses in loss has skyrocketed from 1,680 to 11,960.
INVESTORS ARE OFFSETTING LOSSES
When investors see their assets dropping in value, they tend to panic and sell. This could lead to a selling pressure, making the price drop even further.
THE BEARISH MOMENTUM
The market-wide uncertainty ahead of the U.S. presidential elections isn't helping Cardano's case. With only 17% of holders in profit, it's a tough time for ADA investors.
THE UNLOCKING OF TOKENS
The unlocking of 18.53 million ADA tokens, worth $6.15 million, on October 27 didn't help either. This added to the bearish sentiment around the asset.
A GLIMMER OF HOPE?
Cardano's integration of BitcoinOS' Grail Bridge might allow Bitcoin holders to make transactions to other networks using the zero-knowledge mechanism. But will it be enough to turn the tide?
