Despite variations in Cardano’s [ADA] price over the years, dipping to some lows at certain points, recent data indicates that over 20% of holders have retained their ADA. How have holders in this category fared?
Long-term Cardano holders dominate
According to a recent post by IntoTheBlock, 23% of Cardano holders have held their ADA for more than five years. The data analysis showed that the number of ADA in this category was over 7 billion.
Additionally, the analysis of holders revealed that this category had the highest percentage, with the second-highest category being holders in the six to twelve-month range, representing 19.7%.
Analysis of the Cardano Total Amount of Holders on Santiment showed that there has been no significant trend in the past months.
Although there has been an increase, the move up was slow over the past few months, with the number of holders remaining in the 4 million range. At the time of this writing, the holders were around 4.5 million.
Furthermore, an analysis of the Cardano five-year Market Value to Realized Value ratio (MVRV) showed that these holders were holding at a loss.
The chart revealed that this category’s last profit was in December. During this period, the MVRV rose to over 18% at one point before dropping below zero around 3rd January.
As of this writing, it was over -5%, indicating that the holdings suffered over 5% decline in value.
ADA attempts to rally
An analysis of the Cardano daily timeframe provides insights into the positive phase of the five-year MVRV. The chart showed that during the period in December and January, the price of ADA was around the $0.6 price range.
As the price declined from this range, ADA flipped its support level (yellow line) into resistance.
However, a recent rebound has occurred, with ADA experiencing consecutive uptrends. The chart showed that these uptrends, less than 1%, started around 5th February, before experiencing a more significant increase of over 5% on 8th February.
At the end of trading on 8th February, the price had risen by around 5.3%, and ADA traded at around $0.531. At the time of this writing, the uptrend, though less than 1%, continued. ADA was trading at about $0.535.
Source : AMBCrypto by Adewale Olarinde / Feb 9, 2024