Key Insights
- ADA price surged over 20% intraday and is close to the $1 mark
- Cardano (ADA) emerged as a top performer following the Strategic Reserve news.
Cardano (ADA) price rose more than 20% during the intraday session and emerged as the top performer among digital currencies that President Trump proposed for the U.S. strategic crypto reserve since his announcement.
At press time, Cardano price was trading at $0.9956, noting an intraday rise of over 20.80% in the past 24 hours. Its market cap stood at $35.07 Billion and ranked 8th in the overall crypto market.
What’s Driving the Recent Price Surge?
A recent post on X by Ali Charts revealed that following the announcement of U.S. President Donald Trump about the crypto reserve, significant whale movement was observed.
During the recent price decline, large investors massively accumulated the token, which implies a strong confidence in the token.
According to the analyst, addresses holding ADA tokens between 100 million and 1 billion have accumulated over 420 million ADA following the announcement of U.S. strategic crypto reserve by President Donald Trump.
The involvement of Cardano founder Charles Hoskinson with the U.S. administration serves as a major factor behind the increasing confidence.
The market participants believe ADA prices will experience a strong rally because of positive recent developments.
ADA price surge might hit $1 and set new monthly peaks once resistance is cleared because most indicators show improved stability despite their previous bearish trend.
According to Kaiko’s research, this volatility surge is the highest recorded for any major altcoin since the February tariff sell-off. This was when market-wide turbulence briefly disrupted the crypto bull market.
Futures Market Data Outlook
Data from CoinGlass shows that Cardano has seen its 24-hour Open Interest rise by 8.15% and its long-short ratio rise to the positive ratio at 0.99. It highlights that traders are going long, anticipating a breakout ahead.
Moreover, the OI-weighted funding rate turned extremely negative to neutral, which highlights that buyers have regrouped and could dominate soon.
Furthermore, ADA’s network active addresses have showcased a sharp rise of over 7.20% in the last 24 hours.
Alongside the price rise of over 21%, the increased market participation was evidenced by rising network activity.
Cardano Price Prediction: Key Levels to Watch Out
ADA daily chart implies a bullish outlook as signs of a trend reversal and a breakout were observed.
During the last 72 hours, sharp volatile swings were observed as ADA price moved past the key EMAs.
Furthermore, a bullish crossover of the 20-day and 50-day EMAs was observed, which is most likely a trend reversal.
Amidst the bullish sentiment surge due to the U.S. strategic crypto reserve policy, investors and traders grabbed the opportunity and accumulated the token at the lower levels.
In case of sustaining above the $1 mark, massive short positions would liquidate ahead and a short covering move will push ADA price toward $1.20 in the coming sessions.
However, a rejection from the $1 mark could result in further consolidation around the channel’s upper trajectory around the $0.9700-$0.9900 zone.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
