- Algorand (ALGO) investors are facing significant losses, with a staggering 89% of holders currently underwater.
- Only 8% of ALGO investors are in profit at the current price of $0.1818.
- Despite previous praise from SEC Chair Gary Gensler, ALGO has struggled in the recent crypto market downturn.
Amidst a crypto market downturn, Algorand (ALGO) investors are facing significant losses, with 89% of holders currently underwater. Despite previous praise from SEC Chair Gary Gensler, ALGO struggles to stay afloat.
Algorand Holders Face Significant Losses
As the crypto market experiences a downturn, crypto investors feel the heat, particularly those holding Algorand (ALGO), Gary Gensler’s praised project. Data from the analytics platform IntoTheBlock shows that 89% of ALGO holders are at a loss. These investors are “out of the money,” meaning the overwhelming majority of ALGO investors hold the asset below the price they first bought them.
Only 8% of ALGO Investors in Profit
ALGO trades at $0.1818 at press time, with a 5% gain in the last 24 hours. At this market value, only 8% of Algorand holders are profitable. In parallel, 3% are at break even, neither making profit or losses. Remarkably, among the cryptocurrencies monitored by IntoTheBlock, ALGO stands out as having the highest percentage of holders in a loss position.
Long-Term Investors Bear the Brunt
IntoTheBlock statistics indicated that at least 83% of these Algorand investors are long-term investors holding the asset for more than a year. Only 15% joined the ALGO market within the last year. Meanwhile, 2% of the holder spectrum accounts for those who bought ALGO within the last 30 days.
Gensler’s Praise for Algorand
Silvio Micali, a Massachusetts Institute of Technology (MIT) professor, founded Algorand in 2017. This blockchain project garnered praise from the now infamous U.S. Securities and Exchange Commission (SEC) chairman, Gary Gensler. This was during Gensler’s tenure teaching at the MIT Sloan School of Management in 2018 and 2019. Specifically, during a 2019 presentation, Gensler remarked that Algorand is “a great technology that has a performance with which you could create Uber on top of it.”
Conclusion
Despite Gensler’s endorsement, Algorand has struggled in the current market conditions, with the majority of its investors facing losses. As the crypto market continues to fluctuate, the future of ALGO remains uncertain.
