- Cardano investors, despite the cryptocurrency’s recent poor performance ADA priceA sudden increase is expected.
The cryptocurrency market recorded a massive drop earlier today, which we saw lost 9.2 percent of its valuation. Except for stablecoins, Bitcoin (BTC) and Ethereum (ETH) The top 10 cryptocurrencies, including the coin, lost some of their percentage as investors were forced to panic sell.
ADA’s poor performance
Despite these positive thoughts Cardano (ADA) investors could not escape the sudden decline. ADA, which rose as high as $ 0.90 yesterday, failed to challenge the market’s downtrend and lost about 10 percent, falling below the $ 0.80 level.
Similarly, ADA fell 74.5 percent from its all-time high of $3.09 (ATH) recorded last year. The cryptocurrency has been struggling to reclaim $2 since November 17, 2021, with the coin still trading below $1.
Cardano is trading around $0.76 at the time of writing, which represents a 9 percent drop over the past seven days.
Investors show their confidence in the coin through massive savings
While many traders expressed their dissatisfaction with ADA’s poor performance, bullish supporters in the altcoin community said the team behind the project Hydra Hard ForkHe is optimistic that the coin will record positive movements in the months after launching .
These price rise prospects have also prompted many investors to continue hoarding the cryptocurrency, especially during price drops. As reported, over 750,000 Cardano addresses bought a total of 37.4 billion ADA when the cryptocurrency price dropped below $1.
Cardano addresses holding between 1 million and 10 million ADA in their wallets continued their hoarding spree earlier this week, where investors have amassed 196 million altcoins over the past five weeks. Santiment Feed shared the following about ADA accumulation:
“Cardano whale addresses holding $1 million to $10 million ADA in their wallets dump ($1.7 million less ADA) have been packing their bags in the last 5 weeks ($196 million more) after the end of the term. The 9th largest crypto-asset by market cap has only recently reached such low prices in February 2021.”
Retail investor interest in Cardano increased by 186%
The Cardano (ADA) network has reported a tremendous increase in the number of retail traders, as seen in the wallet balances of short-term holders. According to on-chain data provided by Glassnode, the number of wallets holding the asset for 30 days or less increased by 186 percent.
The data shows that short-term investors hold 36% of the cryptocurrency supply. Such a strong rise in short-term interest can be attributed to both the market and the underlying conditions that Cardano is currently in.
Cardano basically keeps growing
The enormous and rich development process that takes place behind the scenes follows Cardano’s course in the cryptocurrency market. At the beginning of April alone, the Cardano network reported $300 million of funds locked in various decentralized platforms and smart contracts.
Currently, Cardano will act as a bridge between fiat assets and Cardano’s underlying cryptocurrency. djed It awaits the arrival of many decentralized solutions and projects such as stablecoins.
Interestingly, the growth in adoption of Cardano’s ADA amid price drops continues to demonstrate investors’ confidence in the ninth-largest cryptocurrency and bullish momentum that will come when the Hydra upgrade is implemented on June 29, 2022.
Popular analyst evaluated the future of ADA
The crypto analyst, nicknamed Guy, who is closely followed by the crypto world, said that as we mentioned above, Cardano is witnessing an explosion in adoption behind the scenes.
“The number of unique Cardano wallets has increased by more than 50 percent. Number of Cardano assets more than doubled, dozens of DApps [merkezi olmayan uygulama] deployed, hundreds of Cardano DApps are in development. This shows that there is still a lot of demand for ADA from retail investors and users. Keep in mind that there is a significant amount of demand for ADA from institutional investors as well.”
Talking about how much the price of Cardano could rise, the analyst said that the crypto asset is highly correlated with Bitcoin (BTC) and the rise will depend on both the price of BTC and the future developments of the blockchain:
“Combine this constant selling pressure with Cardano’s massive market cap, and ADA might be lucky enough to go up 2x from here in the short term. But when it comes to ADA’s long-term potential; That’s a very different story and how high ADA can rise in the long run ultimately depends on Cardano’s upcoming milestones.”
You can check the price movements here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, KoinFinans and the author of this content cannot be held responsible for personal investment decisions.