Cardano (ADA) remained nearly flat on Wednesday after a volatile week, with the token down roughly 4% over the past seven days amid a broader risk-off mood in crypto. The persistent decline has erased more than 70% of ADA's value over the last nine months, leaving it down over 20% year-to-date. However, on-chain data reveals that the largest holders are using the dip to boost their positions to levels not seen in 3.5 years.
Whale Holdings Surge to 67.5% of Circulating Supply
According to Santiment, wallets holding between 100,000 and 100 million ADA now collectively control over 25.6 billion tokens. Within that group, addresses with at least one million ADA account for roughly 25.1 billion coins, representing about 67.5% of ADA's circulating supply. This accumulation trend has been building for months, even as smaller investors have been reducing their exposure.
Retail Traders Exit While Whales Buy the Dip
Santiment noted that addresses holding fewer than 100 ADA have reduced their balances by approximately 0.7% over the past four months. The divergence highlights a growing gap between retail traders and large market participants. While smaller wallets have been selling during the downturn, whales have steadily accumulated at lower prices, signaling confidence in Cardano's long-term prospects despite the price weakness.
Development Progress Continues Amid Market Woes
Cardano's ecosystem has not stalled during the downturn. Work is ongoing on the Leios testnet, enhancements to the Hydra scaling solution, and the Mithril protocol. The network recently integrated Pyth oracles, and additional funding initiatives are supporting projects built on Cardano. These upgrades aim to improve transaction throughput, network efficiency, and the decentralized application ecosystem, potentially positioning the blockchain for stronger adoption if market conditions improve.
At press time, ADA traded at $0.1642, up 0.29% in the last 24 hours. While no single indicator guarantees a reversal, the whale accumulation suggests that large investors are betting on the network's future rather than reacting to short-term price swings.