Cardano Investors Show Growing Confidence, Extending Holding Times Surge

Cardano (ADA) has seen a notable rise in the average time investors are holding their tokens, signaling increased confidence in the cryptocurrency's near-term prospects.

This trend reflects a shift in sentiment, with holders expecting the coin to maintain stability above the $1 mark.

Recent on-chain data highlights a sharp increase in the average holding period for ADA tokens over the last week. Analysis from IntoTheBlock shows that this duration has surged by 78% within the review period.

This metric represents the average time tokens remain in wallets before being moved or sold, and longer holding times often indicate reduced market selling pressure.

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This decrease in selloffs has contributed to an 8% rise in ADA’s value over the past week, showcasing growing conviction among investors.

Additionally, the funding rate for ADA in perpetual futures contracts remains positive, currently standing at 0.01%. A positive funding rate typically signals strong demand for long positions, reinforcing bullish sentiment in the market.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.