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Jul 21, 2024, 07:14 pm

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1
Is $200 Within Reach For Solana Price? Here's Why This Blockchain Firm Thinks So

Like the general crypto market, the price of Solana (SOL) witnessed significant growth over the past week. According to the latest on-chain data, this might only be the beginning for SOL's price, with several indications of further upside potential for the altcoin.


What's Behind Solana's Recent Price Climb?


In a new report, blockchain intelligence firm Santiment offered insight into the recent price of Solana. According to the analytics platform, the price of SOL has swung upward by more than 33% since the 4th of July, rewarding investors who continued to bet big on it despite the sluggish market conditions.



Santiment mentioned that this positive run of form displayed by the altcoin over the past two weeks can be linked to investor sentiment. The blockchain firm noted that the price climb was triggered and sustained by crowd doubt.


Solana price

Typically, the cryptocurrency market and asset prices tend to move in the opposite direction of the crowd. Hence, when there is euphoria and excitement amongst investors, assets tend to fall in value. Meanwhile, asset prices are likely to increase when there is crowd disbelief or FUD (fear, uncertainty, and doubt).


Despite the sustained increase in Solana's value, there is yet to be a shift in investor sentiment -- which is currently negative. This on-chain observation is based on Santiment's weighted sentiment metric, which measures the overall positive and negative sentiment toward a cryptocurrency.


Furthermore, with the continued negative sentiment towards Solana, Santiment believes that the token's price could experience a further rise this weekend. "Until FOMO replaces the FUD, $200 SOL is very much reachable soon," the on-chain analytics platform revealed.


Solana Price To $200?


A return to $200 would be a highly exciting move for the Solana price, having faced rejection around the zone back in mid-March and early April. However, it is a feat that would take at least a 20% increase from the current price point.




As of this writing, the price of Solana appears to be currently facing resistance around the $170 mark, although it is up by nearly 4% in the last 24 hours. According to CoinGecko data, the altcoin has increased in value by 20% over the past week.


Solana price

Source: Is $200 Within Reach For Solana Price? Here's Why This Blockchain Firm Thinks So
2
Bitcoin Option Traders Are Betting On A Price Breakout Ahead Of US Elections: QCP Capital

The price of Bitcoin has been on a tear over the past seven days, returning between the $61,000 and $67,000 zone where it spent most of the second quarter. This positive run of form comes despite the FUD (fear, uncertainty, and doubt) due to speculations about Mt. Gox's customer repayment.


Interestingly, recent trading data have led QCP Capital, a prominent trading data, to suggest that Bitcoin might only be warming up for an even bigger price rally. According to the company's analysts, the premier cryptocurrency looks primed for significant price growth ahead of the United States elections.


BTC Price To Reach $100,000 By Year End?


Unsurprisingly, the climb of the Bitcoin price from beneath $60,000 to as high as $67,000 in the past week has been one of the hottest topics of discussion amongst investors. Analysts at QCP Capital are amongst the latest set of experts to weigh in on the recent price action of the market leader.



According to the QCP analysts, the resilient upward movement of the BTC price reflects how the market may have "shaken off" most of its concerns. As a result, the flagship cryptocurrency may be preparing to continue its bull run, having spent the better parts of the last quarter in consolidation.


The QCP analysts pointed out in the report that the perpetual funding rate is back to a neutral position, signaling a balanced sentiment amongst traders. For context, the funding rate refers to a periodic payment exchanged between buyers and sellers in perpetual futures contracts.


What's more, QCP capital noted that the Bitcoin spot market could persist within the $61,000 – $67,000 range in the short term, especially with traders holding substantial long positions at the July 26 $67,000 strike. Ultimately, investors appear to be betting big on a price upswing ahead of the United States elections.


Additionally, there has been steady and significant institutional interest in December $100,000 calls. This suggests an increasing confidence in the potential of a year-end rally for Bitcoin, especially with the rising odds of a Donald Trump victory in the upcoming elections.


It is worth mentioning that the price of Bitcoin spiked following the assassination attempt on the former United States president. This price movement was linked to the increased odds of a win for Donald Trump, who has been a vocal supporter of the premier cryptocurrency in recent months.


Bitcoin Price At A Glance


As of this writing, the price of Bitcoin continues to hover around $66,660, reflecting an over 5% increase in the past day. According to CoinGecko data, BTC is up by more than 16% in the past week.



Bitcoin

Featured image from iStock, chart from TradingView


Source: Bitcoin Option Traders Are Betting On A Price Breakout Ahead Of US Elections: QCP Capital
3
Here's What To Know On Grayscale Bitcoin & Ethereum ETF Spinoffs - Details

Prominent asset manager Grayscale Investments is set to launch spinoffs of their Grayscale Ethereum Trust's (ETHE) and Grayscale Bitcoin Trust (GBTC) exchange-traded funds (ETF). Following inquiries by market spectators and potential investors, Bloomberg analyst James Seyffart has provided much insight into the nature and operation of these spinoffs.


Grayscale ETF Spinoff Based On 90-10% Sharing Format, Seyffart Says


On Friday, James Seyffart published a thread on social media platform X, discussing vital information about Grayscale's ETF spin-offs Grayscale Ethereum Mini Trust (ETH) and Grayscale Bitcoin Mini Trust (BTC), which are based on the company's ETHE and GBTC's funds respectively.


Related Reading: BlackRock Overtakes Grayscale To Become The Largest Bitcoin Fund In The World With $20 Billion AUM


An ETF spinoff occurs when a portion of an ETF's holdings is separated into a new, independent ETF. In this process, shareholders of the original ETF, i.e. EHTE and GBTC, automatically receive shares of the new ETF, i.e. ETH and BTC. However, the amount each shareholder receives is proportional to their holdings in the original ETF and the sharing formula of the spinoff.


 




 


Seyffart explains that Grayscale spinoffs are based on the same mechanics, whereby if you have 1000 shares of ETHE or GBTC,  you will receive 1000 shares of ETH or BTC.  Nevertheless, in terms of value, Seyffart states that an initial $1000 worth of ETHE or GBTC will decrease to $900, while the shares in the new ETFs accumulate a value of $100, implying that Grayscale is employing a 90-10% sharing formula. 


Furthermore, the Bloomberg analyst highlighted that the spinoff for ETHE is programmed for July 23, while that of GBTC will occur on July 31.  However, to be eligible for share distributions from the new ETFs, investors should have purchased shares in these original funds before or on the record dates for these spin-offs, which are July 18th for ETHE and July 30 for BTC. Thereafter, investors will have to purchase shares of ETH as a separate, independent fund.


Seyffart notes the record date for ETHE is already past, stating the low price of the ETF at the start of trading was due to the spinoff process on that day. The analyst warns investors to anticipate a similar fate for GBTC on July 30.


Importance Of Grayscale's ETF Spinoffs


Spinoffs are generally conducted for various reasons but with the aim of satisfying a more focused demand. According to Grayscale, their latest spinoffs aim to offer investors the choice of buying a similar product but at lower fees. For context, the proposed ETH spin-off will be accompanied by a sponsor fee of only 0.15% which is quite low in comparison to ETHE's 2.5% fee.


Related Reading: Related Reading: Bitwise CIO Bullish On Ethereum ETFs Fueling Surge To Record Highs Above $5,000


Currently, both ETHE and GBTC continue to trade at $29.71 and $59.68, respectively, with a market gain of 3.31% and 5.82% in the last 24 hours.



Grayscale

Source: Here's What To Know On Grayscale Bitcoin & Ethereum ETF Spinoffs - Details
4
Crypto Analyst Says 'Think Bigger', Bitcoin Price Is Headed To $100,000

A crypto analyst has maintained a strong bullish stance for Bitcoin (BTC), predicting that the pioneer cryptocurrency is heading towards a fresh all-time high of $100,000. The analyst has shared several factors that could propel Bitcoin to this lofty price target. 


Bitcoin To Hit $100,000 In 2024


On July 19, crypto analyst Scott Melker, also known as "The Wolf Of All Streets" on X (formerly Twitter), informed his 958,300 followers that he was extremely bullish on Bitcoin's potential for a future price increase. The analyst emphasized his long term optimistic stance and investment on Bitcoin, highlighting that this bias keeps him generally bullish on the cryptocurrency's price outlook. 



According to Melker, Bitcoin's current market cycle was uniquely different from others. He revealed that in past cycles, the market was swung between overly pessimistic and overly optimistic narratives. However in the current market conditions, mostly positive and tangible  narratives about Bitcoin are coming true. 


Melker also highlighted several factors that will contribute to Bitcoin's bullish surge, predicting that BTC will reach $100,000 before the end of 2024. Considering Bitcoin's price sits at $66,523 as of writing, this will require a 50.34% increase. 


Although the crypto analyst acknowledged that a rise to $100,000 seems ambitious, he also believes that if the right conditions are met during the later stages of the bull market, Bitcoin could achieve this substantial price increase in the blink of an eye. During his post, Melker urged crypto community members to "think bigger," possibly suggesting that investors should stay bullish and expect more from Bitcoin in the bull market. 


Biggest Factors Driving Bitcoin's Bullish Surge


While forecasting Bitcoin's surge to $100,000 before the year's end, Melker compiled a long list of some of the biggest factors that could propel Bitcoin higher. The analyst highlighted the possibility for Spot Bitcoin ETFs to fuel a price surge in Bitcoin.


He revealed that as more inflows enter into Spot Bitcoin ETFs, it could create a steady stream of upward price pressure for Bitcoin. Melker also revealed that if former United States (US) President, Donald Trump wins the upcoming Presidential elections, it may push wealthy fund managers like Vanguard and Wells Fargo to enter the Spot Bitcoin ETFs market. This shift could result in up to $40 billion in inflows by the end of 2024. 



The crypto analyst also emphasized that Ethereum Spot ETFs were another major factor that could propel Bitcoin's price increase. He noted that the appeal of diversifying into an asset class other than Spot Bitcoin ETFs might drive up the price of Ethereum. He also highlighted that Ethereum's success following the launch of its ETF will determine the pace at which new crypto ETF filings like Solana ETFs will emerge. 


Furthermore, Melker pointed out that the upcoming Bitcoin conference, the expansion of tokenization and Real World Assets (RWAs) and the evolutionary innovative changes in stablecoins are significant drivers behind Bitcoin's bullish surge. 


Melker also noted that if Trump wins the US presidential elections and delivers on his promises, it could ease the United States Securities and Exchange Commission’s (SEC) anti-crypto stance and aggressive enforcement tactics on the industry. This would also ultimately provide more clarity of regulatory frameworks and jurisdictions for the crypto space. 


Bitcoin price chart from Tradingview.com

Source: Crypto Analyst Says 'Think Bigger', Bitcoin Price Is Headed To $100,000
5
Solana Sets Sights On $175 Resistance As Bullish Momentum Builds

Lately, the price of Solana (SOL) has been demonstrating bullish resilience and gaining significant growth above its bearish trendline. Market participants are closely watching this current price action with the $175 resistance acting as a pivotal point, and a break above it could set the stage for a potential rally that might propel the crypto asset towards the $175 mark.


As bullish sentiment around SOL continues to build, this article seeks to analyze its current price movements above the bearish trendline and the technical indicators suggesting sustained growth. The goal is to provide readers with a comprehensive understanding of SOL’s potential future trajectory.


SOL’s price was trading at approximately $169 and was up by 5.12% with a market capitalization of over $78 billion and a trading volume of over $3.5 billion as of the time of writing. In the last 24 hours, the asset's market cap has increased by 5.21%, while its trading volume has increased by 69.07%.


Solana Eyes The $175 Mark


On the 4-hour chart, after breaking above the bearish trendline, SOL has continued to maintain its bullish momentum, trading above the 100-day Simple Moving Average (SMA). This sustained momentum could potentially set up a move toward the $175 mark.


Solana

The 4-hour Composite Trend Oscillator confirms that SOL could continue its bullish trajectory above the trendline, as both the signal line and the SMA of the indicator are currently trending in the overbought zone. Also, the signal line shows no sign of crossing below the SMA.


On the 1-day chart, following the breakthrough, Solana is currently attempting a single candle bullish move toward the $175 resistance mark, trading above the 100-day SMA. This bullish momentum could potentially drive the digital asset to reach the $175 mark.


Solana

Lastly, it can be observed that the signal line has crossed above the SMA of the indicator and has crossed above the zero line, with both lines attempting to move toward the overbought zone. This formation of the composite trend oscillator suggests that SOL’s price may continue its current bullish move above the trendline toward the $175 resistance.


The Implications Of SOL’s Bullish Breakout


The current price action suggests that Solana is on the verge of igniting a bullish move above the trendline toward the $175 resistance mark. If the coin achieves this level and breaks above, it could lead to a further climb toward the $188 mark. When this level is breached, the digital asset may experience a price increase toward the $205 resistance level and possibly other levels above.


However, if Solana fails to break above the $175 resistance mark, it may start a fresh decline toward the $160 support level. Furthermore, the cryptocurrency could experience additional price drops, potentially challenging the $118 support range and possibly lower levels if this support is breached.


Solana

Source: Solana Sets Sights On $175 Resistance As Bullish Momentum Builds
6
Stalled USDT Liquidity Threatens Bitcoin Price Further Growth - Here's Why

The price of Bitcoin has maintained a recovery trajectory over the last week, gaining by a significant 16.25% to move briefly above the $67,000 price mark. Bitcoin investors are likely hopeful the asset will record more price gains and finally embark on a bull run following the halving event in April. However, Bitcoin's price future gains are theorized to be tied to multiple factors including the liquidity of the stablecoin market.


Why A Stagant USDT Liquidity Is Harmful To Bitcoin?


In an X post on Friday, prominent on-chain analytics platform CryptoQuant emphasized the importance of stablecoin liquidity to an appreciation in Bitcoin's price. CryptoQuant stated that for premier cryptocurrency to experience further price increases, there is a need for an equal rise in the stablecoin market shares.


Related Reading: Coinbase Analysts Warn: Bitcoin's Upward Trend Could Hit a Wall -- Here's Why




 


For context, stablecoins refer to a type of cryptocurrency with a fixed value that is usually pegged to a reserve asset, usually the US dollar. These assets are combined valued at $163.56 billion and are critical to digital asset adoption for users with a fear of market volatility.  In relation to Bitcoin's price, CryptoQuant specifically references Tether (USDT), the largest stablecoin and third largest cryptocurrency with a market cap value of $113.78 billion, as a major influencing factor. 


The analytics team explains that USDT's growth in the last month has been near 0% (1.03%), thus suggesting a slight 3.21% increase in Bitcoin’s price over the same period. In contrast, USDT's market shares grew by 6.6% in March 2024, the same time in which Bitcoin rose from $61,168 to secure a new all-time high at $73,750.


The relationship between both assets could stem from the prominent use of USDT in crypto trading. Thus, a higher level of USDT liquidity could allow traders to increase demand for risky assets, including Bitcoin. According to CryptoQuant, the Bitcoin market, therefore, requires a rapid rise in stablecoin liquidity to maintain its current positive price performance.



Analyst Highlights "Dangerous" BTC Price Level


In other news, amidst Bitcoin's current price rally, popular crypto analyst Ali Martinez has warned that Bitcoin must maintain its price above the $66,385 level to avoid a massive liquidation of about $42.67 million.  At the time of writing, Bitcoin continues to trade at $66,571 with a notable 4.65% gain in the last day. In a similar fashion, the asset's daily trading volume is up by 38.08% and valued at $37.2 billion.


Bitcoin

Source: Stalled USDT Liquidity Threatens Bitcoin Price Further Growth - Here's Why
7
CBOE Global Markets Lists Spot Ethereum ETFs, Confirms Launch Date

The Chicago Board Options Exchange (CBOE) has confirmed the launch date for Spot Ethereum ETFs, revealing when five Spot ETH ETFs will commence trading in the crypto market. 


CBOE Finalizes Launch Date For Spot Ethereum ETFs


On July 19, the CBOE released a new issue notification on its official website concerning the launch of Spot Ethereum ETFs trading. According to the notification, five Spot ETH ETFs will begin trading on the Chicago Board Options Exchange on July 23, 2024, pending regulatory effectiveness.


Previously, analysts, including Bloomberg Senior ETF analyst, Eric Balchunas, had predicted that Spot ETH ETFs could start trading on July 2. However, Balchunas has since revised his forecast, suggesting in another X (formerly Twitter) post that ETH ETFs would likely launch on July 18. 



Amid the fluctuating timelines for Spot Ethereum's debut, the CBOE's confirmation carries significant weight, aligning with the summer launch date projected by the United States Securities and Exchange Commission (SEC). The adjustment to a July 23 launch date is partly due to delays from several Spot Ethereum ETF issuers, who have needed to amend and resubmit their S-1 registration forms to the SEC for review and approval.


The five Spot ETH ETFs set to begin trading on July 23 include Fidelity Ethereum ETF Fund (FETH), Ark 21Shares Core Ethereum ETF (CETH), Franklin Ethereum ETF (EZET), VanEck Ethereum ETF (ETHV), and Invesco Galaxy Ethereum ETF (QETH). 


The launch of these Spot Ethereum ETFs represents a significant milestone in the crypto market, providing investors the opportunity to gain exposure to ETH without the significant risks of volatility often associated with cryptocurrencies. Furthermore, the introduction of Spot Ethereum ETFs is set to bring greater diversification in the crypto market, offering investors a new trading option beyond Spot Bitcoin ETFs


While CBOE's confirmation of Spot Ethereum ETFs launch is a promising development for the crypto market, the real focus will be on the performance and demand of these ETFs, as their success could set a precedent for more crypto ETF filings in the future.  


Will ETH ETFs Match Bitcoin ETFs Demand Post Launch?


The performance of Ethereum Spot ETFs has been a hot topic in the crypto space, as analysts constantly analyze whether the demand for ETH ETFs could potentially match or even surpass that of Spot Bitcoin ETFs. 



Matt Hougan, the Chief Investment Officer (CIO) of Bitwise, predicts that Ethereum Spot ETFs will be a resounding success, gathering about $15 billion in new assets within the first 18 months in the market. The Bitwise CIO also stated that the demand for ETH ETFs will surge significantly, potentially propelling the price of ETH to a $5,000 all time high. 


In contrast, Samson Mow, the CEO of JAN3, a Bitcoin technology company, believes that Spot Ethereum ETFs will not be as bullish as Spot Bitcoin ETFs. He further added that Ether ETFs will massively underperform Bitcoin ETFs in the market. 


While there are differing opinions regarding the success of Spot Ethereum ETFs, it remains uncertain just how well these investment products will perform following its launch. 


Ethereum price chart from Tradingview.com (Spot ETFs)

Source: CBOE Global Markets Lists Spot Ethereum ETFs, Confirms Launch Date
8
Bitcoin Price Skyrockets To $66,000 Amid Global IT Outage

The Bitcoin price has quickly recovered from its recent dip to a six-month low of $53,500 on July 5th, reclaiming the $66,000 level and setting its sights on retesting its all-time high of $73,700 reached in March. This resurgence comes as major airlines, medical facilities, corporations, and police forces worldwide grapple with a massive information technology (IT) disruption affecting Microsoft’s cloud computing services.


Bitcoin Price Unaffected By Global IT Outage


Cybersecurity firm CrowdStrike shed light on the cause of the outages, attributing them to a “routine software update” that went wrong. To reassure the public, CrowdStrike emphasized that the incident was not a security breach or cyberattack. 


The company then quickly issued a new software update that automatically repaired some affected computers. However, some systems required manual reboots and patching, resulting in significant delays.



Microsoft, on its part, announced the recovery of its 365 apps and services late Friday morning, though some individual customers may still experience residual impact.


Interestingly, amid the chaos caused by the IT outage, cryptocurrency prices remained unaffected, capturing the attention of US Senator Cynthia Lummis. 


Known for her pro-crypto and Bitcoin stance, Senator Lummis took to social media platform X (formerly Twitter) to highlight the resilience of the Bitcoin price amid widespread cyber outages, stating:  “Do you know what form of currency hasn’t been affected by widespread cyber outages? Bitcoin. Vires in Numeris.”


Meanwhile, speculation surrounding Bitcoin’s potential as a strategic reserve asset for the United States has been intensifying. 


Anticipation has been further fueled by the upcoming appearance of former US President Donald Trump in Nashville on July 27, who some predict will announce the largest cryptocurrency on the market as a key to the US economy, potentially providing a massive boost to the Bitcoin price.


Sell Signal Emerges


As the Bitcoin price continues its recovery, crypto analyst Ali Martinez has detected a significant development on the Bitcoin daily chart as the TD Sequential indicator has generated a sell signal. 


However, the analyst noted that the signal can be invalidated if Bitcoin manages to close above the crucial threshold of $67,500. The cryptocurrency’s current price stands at $66,666, reflecting a 5% increase within the past 24 hours and an impressive surge of over 16% in the past week alone. 


Sustaining a close above the level identified by Martinez becomes paramount to avoid a potential correction on its path towards the highly anticipated $70,000 milestone.



While Bitcoin’s upward trajectory is strong, it may encounter resistance at various price levels before reaching its target noted by bearish thresholds at $67,600, $68,380, and $69,700, which could pose challenges to Bitcoin’s price rise. 


Conversely, Bitcoin can find support from its 200-day exponential moving average (EMA), currently positioned at $62,600, which represents a long-term trend indicator, often regarded as a robust support level.


Bitcoin price

Featured image from DALL-E, chart from TradingView.com 


Source: Bitcoin Price Skyrockets To $66,000 Amid Global IT Outage
9
Dogwifhat (WIF) Sees 60% Weekly Surge But Analyst Warns Of Potential Retrace

This week, the dog-themed sensation Dogwifhat (WIF) has recovered from its drop below the $2 support zone. The Solana-based memecoin flipped Ethereum's Layer-2 (L2) Arbitrum (ARB) and is currently testing the $2.5 resistance level. However, a crypto analyst has warned investors of a possible retrace for WIF.



WIF Puts Its Hat Back On


Dogwifhat became the memecoin sensation of 2024's first quarter (Q1), giving returns of over 2,000% earlier this year. The Solana token reached an all-time high (ATH) of $4.8 in March but has declined 45% since then.


Despite this, investors remain bullish on the memecoin, some stating it has shown strength through its sharpest correction. Asad Saddique, Cryptonary's CTO, highlighted that the token "withstood like 5 or 6 corrections of >70%." To Saddique, Dogwifhat solidified during the retraces and "challenges" for the dog-themed memecoin throne.


Notably, WIF flipped Arbitrum as the 38th largest cryptocurrency by market capitalization today with a $2.5 billion market cap. This feat was first achieved on March 31, when WIF reached its ATH and a market cap of $4.57 billion.


WIF

A month ago, crypto trader Bluntz, who made several bullish forecasts for WIF during Q1, shared a bearish prediction for the memecoin. Per the trader, the Solana token was set to an "inevitable" fall to the $1 range.


However, this prediction was based on a previous bullish analysis. Bluntz stated that WIF was headed for a large retrace before the next parabolic run, which could lead to a new ATH.


Following the market downturn, the dog-themed memecoin saw a price reduction of over 43%. Earlier this month, WIF dropped from the $2.6 price range to as low as $1.51 on July 11.


Nonetheless, it had a remarkable performance this week. The token reclaimed the $2 support zone and exhibits green numbers in several timeframes.


Will It Shred Another 40% Soon?


WIF surged 8% in the last 24 hours and trades at $2.54, at the time of this writing. This performance represents a 60% and 25% price increase in the weekly and monthly timeframes.


The recent price action has seemingly revitalized the bullish sentiment towards the token. Crypto analyst Hornhairs claimed that the memecoin "looks solid." To the analyst, WIF could retest the $3 resistance level if it holds above the $2.2 price range.


However, another market watcher has warned investors about a potential downside for Dogwifhat. CrediBull stated that people are taking most altcoins' bounces as "a sign of strength, but the reality is, alts and especially memes are just higher beta versions of BTC."


To the analyst, the current bounce is "nice," but, if Bitcoin (BTC) bounces or falls, Dogwifhat will follow the flagship cryptocurrency's movement "harder/stronger.



The memecoin "left a triple bottom right below us" after making a lower high on higher timeframes. This suggests to the trader that the token "is likely to follow with a 40% move back down of its own to take those triple lows."


WIF

Source: Dogwifhat (WIF) Sees 60% Weekly Surge But Analyst Warns Of Potential Retrace
10
Crypto Market Rebounds From Lows, But Why Are Cardano Holders Suffering Losses?

Despite the crypto market recovery, a large number of Cardano holders are still nursing losses, leading to speculations as to why this is the case. Data from IntoTheBlock shows that the altcoin is the worst performer in terms of profitability when it comes to the top 10 largest cryptocurrency by market cap, disappointing holders and long-term believers.


Cardano Profitability Sits At Only 15%


The Cardano profitability has remained low since the market crash of 2022 and even with the market recovery, the majority of investors are still underwater on their investments. This comes as the ADA price has failed to follow the market trend, beaten down at major resistances such as $0.6. and $0.7.



Currently, IntoTheBlock data shows that only 25% of all Cardano owners are seeing any profit. On the flip side, the vast majority of 66% are currently out of the money, meaning they are in losses. The remaining 9% are sitting at neutral, meaning they are currently at breakeven as the current price is the same as the price the coins were last moved at.


With around 4.5 million Cardano holders, this means that only 1.11 million holders are seeing any kind of profit on their holdings. 2.96 million addresses are currently sitting at losses and 397,740 addresses are those sitting at breakeven.


From here, if the price were to fall below $0.35 again, another 138,000 addresses will be plunged into losses, further widening the profitability gap. However, if the ADA price successfully moves above $0.47, it will send a fritter 85,590 addresses back into profit.


Comparing The Profitability Of Top Cryptocurrencies


To show how far behind Cardano is in terms of profitability, we put it up against other top cryptocurrencies for comparison. The largest cryptocurrency in the space, Bitcoin, is currently seeing 89% of all holders in profit with only 7% seeing losses and 5% at breakeven.


Ethereum, the second-largest cryptocurrency, is seeing 82% of its holders in profit, 12% in losses, and 5% at breakeven. For Dogecoin, the number is also high, with 75% of all wallets in profit, 23% seeing losses, and 3% at breakeven.



This comparison shows just how badly Cardano is performing compared to its fellow large-cap cryptocurrencies. If the ADA price continues to struggle, the profitability gap could continue to widen from this point, plunging even more Cardano investors into the red.


At the time of writing, the ADA price is trending at $0.42, with a 4.4% decline in the last day. However, on the weekly chart, it is holding 5.29% gains after a recovery last week.


Cardano price chart from Tradingview.com

Source: Crypto Market Rebounds From Lows, But Why Are Cardano Holders Suffering Losses?
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