Cardano Whale Concentration Hits Record High Amid Thin DeFi Liquidity

The recent surge in Cardano prices is largely attributed to the growing concentration of large holders, known as 'whales,' who now control 67% of the circulating supply. According to on-chain data from Santiment, wallets holding at least one million ADA have accumulated a combined total of 25.09 billion tokens since July 2020.

This concentration raises concerns about market volatility as thin DeFi liquidity makes every whale move a potential trigger in either direction. If the whales decide to sell their holdings, it could lead to significant price drops and potentially even a retest of $0.20.