- Cardano’s price hovered around $0.33 at the time of publication.
- Only 16 % of addresses appeared to be profitable
Cardano’s (ADA) price The altcoin is at a critical crossroads. It’s testing important support levels. At the time of writing, Cardano was trading at $0.33 – A price level that has historically acted as both support and resistance.
Cardano has been lagging behind the rest of the market, even though it appeared that things were improving. Altcoins have been trapped in their press time ranges for some time now. Bulls also struggle to bring enough pressure.
It is evident that the profitability of this asset has also been sluggish. In the IntoTheBlock database, Cardano addresses only make up 15.85%. own “In The Money.” The asset is held in a few hands, which could limit the price movement upward.
Most Cardano holders are calm…
Similarly the data also revealed that almost 79.88% were in debt, which means they had purchased ADA with a negative profit. The high number of positions that are underwater could cause a selling off as the prices increase.
Cardano data shows that even when the market appears dull, volatility will be on the way. The chart also showed several levels of liquidation around $0.35.
In the event that this threshold can be successfully reached, it will lead to an increase in liquidations. This may be a problem for sellers who are trying to recover their losses. Particularly given the low percentage of profitable addresses.
Can the bulls return?
Hence, the question – Can 16% profitable addresses bring about a significant bull rally? This group, despite being in the minority, may have enough money to boost prices.
Any meaningful recovery is possible CardanoThis will require a convincing break above the $0.35 level of resistance. The potential for liquidations will increase. But also more profitable addresses, thus reducing the pressure on sell-side.
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Source: ambcrypto.com