New on-chain data reveals a significant profit gap among major cryptocurrencies, highlighting which assets may be overbought and which could be undervalued. Market intelligence from Santiment shows that while Bitcoin (BTC) and Ethereum (ETH) holders enjoy substantial unrealized gains, other altcoins like Cardano (ADA) lag behind—suggesting potential breakout opportunities.
Key Crypto Profitability Metrics
- Bitcoin (BTC): 94.5% of holders are profitable
- Ethereum (ETH): 88.7% in profit
- Cardano (ADA): Only 46.5% of holders in the green
This disparity underscores contrasting market sentiments: BTC and ETH benefit from strong investor confidence, while ADA's bearish pressure hints at possible long-term value.
Bitcoin’s Resilience Amid Profit-Taking
BTC recently surpassed $106,000, gaining 2% daily and 3.4% weekly. Despite 720,000 BTC sold over two months, demand from new buyers absorbed the selling pressure.
👉 Why Bitcoin’s Demand Outweighs Short-Term Sell-Offs
The Realized Cap for new holders (0–1 month) surged by $66 billion since April, marking aggressive profit-taking. However, declining sell pressure now suggests reduced downside risk.
Cardano’s Contrarian Opportunity
ADA trades near $0.60, down 23.6% monthly. With fewer than half its holders profitable, whale activity (e.g., a 270 million ADA dump) and negative momentum challenge bullish predictions. Yet, oversold RSI conditions indicate potential upside if sentiment shifts.
Altcoin Fragmentation: ETH, XRP, and DOGE
Ethereum (ETH)
- 88.7% profitable holders
- Risks: Crowded futures leverage could trigger further drops (currently $2,430, down 4.2% weekly).
XRP
- 65.1% in profit
- Trading at $2.18 (-7.4% monthly), showing technical fragility.
Dogecoin (DOGE)
- 64.7% profitable
- Consolidating between $0.16–$0.18; a breakout either way could spark a 60% swing.
Undervalued Gems: Chainlink (LINK) and ADA
- LINK: Under 60% holders profitable
- ADA: Deep bearish sentiment may precede a rebound
Key triggers for upside include:
- BTC holding $100,000 support
- ETH leverage unwinding
- Altcoins converting oversold signals into demand
FAQ
Q: Why is Bitcoin less likely to crash despite profit-taking?
A: Strong new buyer demand offsets sell pressure, as seen with the $66 billion Realized Cap increase.
Q: Is Cardano a good long-term investment?
A: Contrarians see value in its undervaluation, but whale sell-offs and negative trends pose risks.
Q: What could trigger an altcoin rally?
A: Bitcoin stability, ETH leverage reduction, and oversold technical reversals.
👉 Expert Picks for High-Potential Cryptos
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