Cardano faces key resistance at $0.38 while only 35% of holders are in profit

Although there are recent profits in the cryptocurrency market, most Cardano (ADA) cryptocurrency holders are “in the red”. According to a survey by analytics platform IntoTheBlock, released on November 30, revealed that only 35% of investors in the ADA token are currently making profits.

The analysis noted that Cardano is facing key resistance at the $0.38 price level. In this zone, 7.19 billion ADA tokens were purchased by investors.

“Despite recent market rallies, only 35% of $ADA holders are in profit, significantly lower than other major protocols. On-chain data reveals key resistance at $0.38, with 7.19 billion $ADA purchased here,” shared.

The platform suggested a possible move to increase investor profits: “Clearing this level could reduce resistance, potentially increasing holder profits.”

At the time of publication, the price of Cardano was quoted at US$0.374309, down 2.8% in the last 24 hours. During this period, the cryptocurrency recorded a trading volume of US$255,044,155.

Recently, renowned cryptocurrency analyst Ali Martinez shared an analysis on Cardano’s price movement, highlighting a strong buy signal.

“See how the 100 EMA on the 4-hour chart acted as a recovery zone for $ADA, while the $0.396 level acts as a strong resistance. TD Sequential now presents a buy signal within this period around the EMA 100, anticipating another recovery. However, you should pay attention to a 4-hour candle close above the $0.396 resistance or below the 100 EMA to confirm the ADA trend direction,” he wrote.

#Cardano | Look how the 100-EMA on the 4-hour chart has acted as a rebound zone for $ADA while the $0.396 level acts as a stiff resistance.

The TD Sequential now presents a buy signal within this time frame around the 100-EMA, anticipating another rebound. However, you must pay… pic.twitter.com/bi4Lzg4rUr

— Ali (@ali_charts) November 27, 2023

Santiment Analysts Reveal: Drop in ADA Cardano Wallets May Indicate Price Increase

In a dynamic cryptocurrency market scenario, analysts at Santiment have brought an intriguing perspective on the recent activity in Cardano (ADA). As noted, the decrease in the number of ADA wallets carries special significance, often preceding notable increases in the value of the cryptocurrency.

The scenario becomes even more fascinating when we consider the 0.59% reduction in the number of Cardano wallets, now totaling 4.46 million. Santiment analysts interpret this decline as a sign of capitulation, a phenomenon historically followed by price spikes. This analysis suggests a potential upward movement in the value of ADA, aligning with previously observed patterns.

Disclaimer:

The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.