Bitrabo Editorial
An analytics firm has conducted an analysis on the stagnant phase that the Cardano (ADA) network has experienced in adoption over the past year.
Unchanged Total Holders in Cardano Network
According to data from IntoTheBlock, the total number of Cardano addresses holding a non-zero balance has remained stagnant over the last year. The chart below illustrates the trend in this metric:
The growth in Cardano holders surged during the 2021 bull market but slowed down during the 2022 bear market and eventually reached a plateau in the last year. This indicates a diminishing interest among new investors in the Cardano network.
Investors are now turning to other networks like Solana and Base, abandoning Cardano, which previously positioned itself as a strong Ethereum alternative during the previous cycle.
Although a larger user base is essential for long-term growth, ADA’s stagnant holders at around 4.45 million indicate a lack of progress in this aspect.
Despite the discouraging adoption trend, positive developments include a consistent trend in daily active addresses since April.
Moreover, Cardano has been processing a substantial daily volume of $7.2 billion, surpassing many other networks, showing a strong community engagement with the protocol.
There is also an observed increase in HODLing conviction among Cardano investors, with almost 40% of the supply remaining inactive for a year or more.
Current ADA Price
As of now, Cardano is priced around $0.336, marking a more than 3% increase over the past week.