Despite a rebound in the cryptocurrency market, a significant number of Cardano holders are still grappling with losses, sparking speculation about the underlying causes. Data from IntoTheBlock reveals that Cardano is the worst performer in profitability among the top 10 cryptocurrencies by market cap, disappointing both its investors and long-term enthusiasts.
The profitability of Cardano remains starkly low since the market crash of 2022. Even with the recent market upswing, the majority of Cardano investors are still underwater. The ADA price has struggled to break through critical resistance levels at $0.60 and $0.70. Currently, only 25% of Cardano owners are in profit, while a whopping 66% are experiencing losses. The remaining 9% are at breakeven, having seen the price stagnate to the point where it equals their initial purchase price.
With about 4.5 million Cardano holders, this means only 1.11 million investors are currently profitable. Meanwhile, 2.96 million addresses are at a loss, and 397,740 addresses are breaking even. Should the ADA price fall below $0.35 again, another 138,000 addresses could plunge further into losses. Conversely, if the price rises above $0.47, around 85,590 addresses could return to profitability.
When comparing the profitability of top cryptocurrencies, Cardano significantly lags behind. Bitcoin, the market leader, boasts 89% of holders in profit, with only 7% experiencing losses and 5% at breakeven. Ethereum has 82% of its holders in profit, 12% in loss, and 5% at breakeven. Even Dogecoin, often seen as a more volatile asset, presents better profitability figures, with 75% of holders in profit, 23% in loss, and 3% at breakeven.
This contrast highlights just how poorly Cardano is performing compared to other large-cap cryptocurrencies. If ADA’s price continues to struggle, the gap in profitability could widen, pushing even more Cardano investors into the red. At the time of writing, ADA is trading at $0.42, marking a 4.4% decline in the last day. However, it shows a 5.29% gain on the weekly chart following a recent recovery.
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