It has officially been two years since Cardano reached the top of the last bull market, and hence, it appears that the worst could be over soon. Regardless of the prevailing price action, the Cardano TVL continued to soar with a rise in on-chain transaction volume. It has to be noted that ADA price still holds an adequate social dominance that appears more promising.
While the ADA price continues to descend, is there any reason to be bullish on Cardano?
The Cardano ecosystem is making every effort to offer a robust platform, and hence it is constantly growing. There are a total of 138 projects launched, 2 last month, and 1,277 buildings on Cardano. The number of token policies increased by 850, while the number of native tokens minted rose by 140,000. Plutus, the smart contract platform of Cardano, grew by 231 while the V2 scripts grew by 510, making a total of 3,358.
Besides, the total number of transactions increased by 1.6 million in August. Despite these developments, the whales and the sharks do not appear to be optimistic about the ADA price, as they have let off a huge number of their holdings in the past week.
A popular analyst, Ali, shared the data from Santiment, indicating a massive drop in the number of addresses holding ADA tokens within the range of 10 million to 100 million. The Cardano whales have sold or redistributed roughly 1.02 billion ADA in the past week, worth $265 million. The month-end drop may have flipped the sentiment of whales, who may have turned pessimistic at the moment.
However, in the coming days, the ADA price is expected to rise above the extreme compression, which may lead to a massive breakout. However, to do so, holding above $0.25 is extremely important.
