TLDR
- Cardano secures second place globally in community support with 88% bullish sentiment, behind only Bitcoin
- ADA trades at $0.60 with $0.62 serving as a critical support level that could determine the next price move
- Grayscale is preparing a Cardano ETF that may trade as GADA, potentially opening institutional access
- Trading volume jumped 40% to $1.2 billion as the token tests key technical levels
- Technical indicators show ADA below the $0.76 moving average with RSI at 43 suggesting weak momentum
Cardano has claimed the second position worldwide in community support according to TapTools data. Only Bitcoin ranks higher in terms of community backing.
Data reveals 88% of ADA votes are bullish. This demonstrates strong investor confidence in the project.
The token currently trades around $0.60 following a 1.42% decline in 24 hours. Over the past week, ADA dropped 8.2%.
At the time of writing, ADA sits at $0.6359 with a market cap of $22.79 billion. The 24-hour trading volume reached $1.2 billion, marking a 40.17% increase from the prior day.
Cardano maintains its status as one of few cryptocurrencies consistently ranked in the top 15 by market capitalization. This places it alongside Bitcoin and Ethereum in terms of market presence.
Despite recent volatility, the token held firm during a turbulent 48-hour period. CryptoPulse observed that traders focused on long-term positioning rather than reacting to short-term price swings.
Grayscale ETF Development Sparks Institutional Interest
Grayscale Investments is working on a Cardano-focused ETF. Reports suggest the fund could trade under the ticker GADA.
This development represents a potential pathway for traditional investors to access ADA. The ETF structure would provide regulated exposure to Cardano’s blockchain ecosystem.
Crypto analyst Sssebi pointed out that this launch could drive substantial liquidity increases. Past ETF announcements have historically triggered price rallies for underlying assets.
Market participants view the upcoming announcement as a strategic accumulation opportunity. Anticipation surrounding ETF launches often generates momentum before official confirmation.
Critical Support Level Determines Next Move
The $0.62 price point serves as a crucial support zone for Cardano. Analyst Ali emphasized that maintaining this level is essential for bullish continuation.
If buyers defend the $0.62 support, targets extend to $1.90 resistance. This scenario would deliver over 200% gains from current prices.
A breakdown below support could send ADA toward $0.50. This would prolong the ongoing correction phase.
Technical analysis shows mixed signals. The RSI hovers near 43, indicating weak momentum without entering oversold conditions.
The MACD indicator turned negative as the signal line crossed below. This development supports the case for near-term weakness.
ADA trades beneath the 20-week simple moving average at $0.76. The price approaches the lower Bollinger Band near $0.52.
Recent price action displayed a long lower wick on the candle. This pattern shows sellers drove prices down before buyers provided support at lower levels.
The token has struggled since failing to hold above $1.00 earlier this year. Trading volume increased over 40% in the past day, reflecting heightened activity at current price levels.
Market participants now watch whether the $0.62 support holds. The outcome will likely determine ADA’s direction in the coming weeks.
The combination of strong community support and potential institutional access through the Grayscale ETF creates an interesting setup. Price action at the $0.62 level remains the immediate focus for traders.
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