Highlights
- The inclusion of ADA in the U.S. crypto reserve attracted significant liquidity, boosting market confidence.
- Addresses holding 10-100 million ADA accumulated over 200 million tokens in 24 hours, driving the recent price surge.
- Upcoming February jobs report on March 7 could further act as an external factor influencing the Cardano price and overall market volatility.
The Cardano price trend had been lackluster, with no significant developments to drive it higher. To reignite interest among ADA bulls, substantial positive news was essential, and the recent announcement of the Crypto Reserve delivered just that.
Currently, the crypto markets are struggling with significant uncertainty, heavily swayed by external factors, which is damaging to any market’s healthy growth.
For instance, at the end of January 2025, Cardano launched its most significant update yet, which was the Plomin hard fork. However, it failed to generate the anticipated gains as external factors subdued market momentum.
The inclusion of ADA in the Crypto Reserve has emerged as a highly bullish signal, attracting significant liquidity to the platform.
Recently, the influence of external news factors has grown increasingly important in the billion-dollar crypto industry, as a driving force.
Also, analyst Ali noted a holding pattern, indicating that a large quantity of ADA was accumulated by holders in the past 24 hours in response to this crypto reserve news.
As it stands, the Cardano price may remain within an accumulation zone until another bullish announcement shakes up the crypto markets.
Keep reading to know more about whether the next external factors could push the Cardano price higher.
Whales Accumulate ADA, Sending Cardano Price Higher
According to the Santiment data shared by analyst Ali, addresses holding between 10 million and 100 million ADA tokens have accumulated over 200 million ADA in the past 24 hours.
These addresses now collectively hold more than 12.73 billion tokens, and this significant accumulation is considered a key factor behind the recent price surge.
Crypto Reserve Announcement Woke Up Cardano Bulls?
During a recent press conference at the White House, Trump announced the U.S. crypto reserve. This will have ADA, XRP, and SOL to be included in the U.S. crypto reserve, which is seen as a strategic initiative aimed at enhancing domestic crypto innovation.
The selection of these tokens is particularly significant due to their strong connections to the United States.
Ripple is based in San Francisco, and Solana has established a robust presence in the U.S.
While ADA crypto is boasting a global community that has important partnerships and operations in the country, including Input Output Global’s (IOG) U.S. offices.
This alignment with U.S.-based entities likely played a role in their inclusion, as the government seeks to bolster the nation’s standing in the global digital asset arena.
The announcement has captured the attention of investors, with Cardano price seeing the most pronounced reaction on the daily charts.
As a result, the Cardano price has surged, pushing its market capitalization past that of Dogecoin.
Impact of Upcoming Jobs Report on ADA Price?
This week is packed with crucial economic reports that have the potential to ignite market volatility across all asset classes.
Where, Friday, March 7, is particularly noteworthy, as the highly anticipated February jobs report and the White House Crypto Summit is on that date.
Any deviation from the expected figures could influence Federal Reserve policy expectations, which, in turn, may affect the performance of risk assets like ADA crypto.
Despite the importance of these events, the actual impact on the market remains uncertain.
Disclaimer
In this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
