Cardano addresses in this category will have no choice but to hold the cryptocurrency until they break even.
Fresh IntoTheBlock data shared by Ali Martinez, a popular cryptocurrency analyst, shows a large amount of ADA purchases made by Cardano addresses in the past few weeks when price was around $1.
Per the data, a total of 757,000 addresses purchased a combined 37.4 billion ADA coins at an average price of $0.91. The minimum price that traders were opportune to purchase ADA was around $0.799 while $1.04 was recorded as the maximum price that these tokens were bought.
With a single unit of ADA currently worth $0.795 in the hour leading up to press time, it is evident that the 757,000 Cardano addresses that racked up the 37.4 billion ADA are currently in loss, thus may be forced to continue to hold onto the cryptocurrency to eventually break even.
This action will contribute to keeping ADA’s price afloat in the meantime.
“#Cardano | On-chain data shows that more than 757,000 addresses purchased nearly 37.4 billion $ADA at an average price of $0.91. These market participants may try to break even in the event of a bullish impulse, keeping #ADA at bay,” Martinez tweeted.
— Ali Martinez (@ali_charts) May 3, 2022
Many Cardano Holders in Loss
Meanwhile, it is not only addresses in this category that are currently in losses. The data suggests that of all Cardano holders, 87.3% (84.24 billion ADA) are currently in losses, while 12.42%, which represents 11.98 billion ADA, are in profit.
Similarly, only about 0.29% Cardano addresses are at break even at the current price of $0.799.
Cardano Whales Take Advantage
Cardano has not really brought smiles to the faces of many following its massive decline in price, but that has not deterred whale traders from increasing their position in the ninth-largest cryptocurrency.
As reported, Cardano addresses holdings of between 1 and 10 million ADA successfully purchased a combined 196 million ADA in the past five weeks as the price of the cryptocurrency suffered a major dip.
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