Wallet Activity: Why Fewer ADA, DOGE Holders Could Be Bullish

Wallet activity for some major altcoins has shifted recently, with Cardano (ADA), Dogecoin (DOGE), and Bitcoin (BTC) seeing modest declines in the overall number of non-empty wallets. This indicates a bullish long-term outlook.

According to Santiment, Bitcoin lost 15,120 wallets in the last 4 days, while 29,976 ADA wallets and 24,456 DOGE wallets showed profit-taking in the past 13 days and 1 day, respectively. Conversely, Chainlink gained 991 wallets in the past month.

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Why Fewer Wallets Can Be Bullish

Santiment expects these digital assets to increase in price soon. The platform stated that decreasing wallets are a sign of FUD and capitulation from novice traders, often a bullish indicator. These traders are likely selling off their altcoins, which could be bought by larger, long-term investors (“whales” and “sharks”).

Notably, retail traders are much higher in number than whale wallets and therefore, control the amount of non-empty wallets on a network. With Bitcoin’s wallet numbers also declining in the past few days, the leading digital asset can make higher highs in the long term.

Changes in Non-Empty Wallets Over the Past Month

Here’s a look at the change in non-empty wallets over the past month for some top cryptocurrencies:

• Bitcoin (BTC): +11,263 (+0.02%)
• Ethereum (ETH): +1,950,000 (+1.50%)
• XRP Ledger (XRP): +88,261 (+1.61%)
• Cardano (ADA): -34,931 (-0.78%)
• Dogecoin (DOGE): +109,410 (+1.65%)
• Chainlink (LINK): +991 (+0.14%)

ADA, LINK, and DOGE Price Movements

CoinMarketCap data shows that ADA rose 0.5% in the past 24 hours to $0.7436 and is up 26.26% in the past week and 112.53% in the last 30 days. Meanwhile, LINK trades at $15.01, up 5.40% in the past day, 2.15% in the last seven days, and 32.08% in the past month.

On the other hand, DOGE is one of the best-performing assets in the market, up 4.39% in the past 24 hours. DOGE is priced at $0.3886, up 173.10% in the past month.