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