Methods and systems of adaptive equalization to compensate channel loss are disclosed. A method includes detecting a peak amplitude of an equalizer output signal and selecting a set of reference voltage levels from M sets based on the peak amplitude of the equalizer output signal, each of the M sets having N reference voltage levels. The method includes continuing to increase an equalization level in predetermined steps to a next higher equalization level if the applied equalization level does not correspond to the over-equalization level and evaluating the distribution of the resulting hit counts for each increase to the next higher equalization level until the applied equalization level corresponds to the over-equalization level. The method includes decreasing to the previously applied lower equalization level if the applied equalization level corresponds to the over-equalization level.