Cardano has been on a downward trajectory since March, nearing its one-year low amid growing selling pressure. After reaching a 34-month high of $0.807 on March 12, the price of ADA has plummeted by 15% in the past month, currently trading at $0.33, with a market cap of $11.8 billion and daily trading volume at $185 million, up 5%.
Recent data from IntoTheBlock reveals that the number of daily active addresses in loss surged from 1,680 to 11,960 over the past week, indicating rising panic among investors. This trend often leads to increased selling pressure as holders attempt to mitigate losses.
Market uncertainty, particularly ahead of the U.S. presidential elections, is further contributing to Cardano’s bearish outlook. Currently, only 17% of ADA holders are in profit at this price level, with 3.6% near their initial investments, while the majority are experiencing losses. Cardano’s value is now 89% down from its all-time high of $3.10 reached on September 2, 2021.
Additionally, token unlocks, although minor relative to the overall market cap, are adding to the negative sentiment. On October 27, 18.53 million ADA tokens, valued at $6.15 million, were added to circulation, with a similar amount set to unlock on November 1. So far, 34.99 billion ADA tokens have entered circulation out of a total supply of 45 billion.
On a more positive note, Cardano recently announced its integration with BitcoinOS’ Grail Bridge, allowing Bitcoin holders to transact across networks using a zero-knowledge mechanism without intermediaries.
