Cardano: only 30% of ADA holders have turned a profit - what's next?
There is a bearish bias in #ADA prices, consistently falling highs and multiple double top formations.
Narrow Bollinger Bands and a flat MACD indicate low volatility.
Despite the weak performance over the past month, #Cardano [ADA] is showing signs of strong support as evidenced by the network data.
Moreover, the network has seen a rise in the total blockchain value (TVL) in the #ĐŃĐ±ĐžĐŒŃĐčĐąĐŸĐșĐ”Đœ app, which has doubled from its peak during the 2021 bull market.
According to IntoTheBlock, only 30% of ADA holders are currently profitable, meaning that a significant portion of the market is losing money.
28% of ADA is owned by large investors, indicating a moderately high level of tracking of this token, which could affect price stability and potential risk of manipulation.
The massive $34.46 billion in transactions over the past week indicates large movements by institutional or large investors, which can be both inflows and outflows, reflecting active participation in high-stakes bidding in ADA.
At the time of publication, ADA prices were in a downtrend, which has been particularly noticeable against a backdrop of sustained low prices since early June. This trend is consistent with bearish sentiment.
The Bollinger Bands on this chart are relatively narrow, which often indicates low volatility.
ADA prices are fluctuating around the middle #band , indicating that there is no full-fledged bullish or bearish momentum, which is consistent with a consolidation phase.
The moving average divergence indicator (MACD) is zero, reinforcing the sentiment in the bands.
A series of double tops have formed on the chart below, which are generally considered bearish reversal indicators.
In addition, ADA prices are below all moving average lines, which is considered a bearish signal.
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