Despite the decline in the coin's value $ADA , which traded above $0.40 at the beginning of the month and then dropped to $0.35, large investors are eager to hold as much of this asset as possible. Wallets holding between 100,000 and 100 million ADA have accumulated 454.7 million ADA, making purchases totaling $161.4 million since late November. Small retail investors, who own less than 100 ADA each, on the contrary, sold a total of 8 over the last three weeks.
In Santiment, it was stated that the period when large holders accumulate altcoins while retail investors sell them often precedes a market recovery. Typically, large investors in an asset seek to strengthen their positions and manage to absorb coins while the price remains low. If the situation in the cryptocurrency market stabilizes, the accumulation of ADA by large holders could lay the groundwork for a potential rebound of the altcoin, analysts at Santiment suggested.
A similar picture was observed at the end of autumn. From November 7 to 10, large Cardano holders accumulated 348 million ADA - about 0.94% of the coins in circulation. During this time, ADA showed moderate growth, rising from $0.531 to $0.593.
In November, the Cardano blockchain experienced an attack for the first time in eight years, splitting the network into two separate chains. The cause of the incident was an incorrect delegation transaction that checked validation on new versions of nodes.