Share this article
Cardano’s has continued its recent rally, gaining 14.8% today. The ADA token’s inclusion in a new Grayscale fund and Coinbase enabling Cardano staking have likely contributed to the token’s upward momentum.
Cardano Breaks Downtrend
Cardano is leading the crypto charge today as the broader market shows signs of recovery.
The ADA token is up 16.3% Thursday, adding to its gains earlier this week. The seventh-largest cryptocurrency is currently trading at $1.15, up more than 35% over the past week.
The latest upswing has propelled Cardano above the long-standing trendline that has been in play since late 2021. By breaking past this line that previously acted as resistance, ADA could invalidate the downward trend that has governed its price action over the past several months.
Source: TradingView
While Cardano is one of the best performing digital assets over the past week, other top cryptocurrencies also show strength. Avalanche has rallied 16.5%, and Dogecoin has gained 18.3%, signaling a possible increase in risk-on sentiment.
Several other positive catalysts have likely contributed to Cardano’s current price action. On Tuesday, the crypto asset management company Grayscale Investments announced a new fund that focuses on Ethereum competitors. The ADA token comprises 24.63% of the fund, making it the biggest allocation out of the seven assets included. Other tokens to see a sizable allocation in Grayscale’s fund, such as Solana, have also put in substantial gains. The SOL token has rallied 11.2% since the fund was announced.
Additionally, Coinbase announced yesterday that it had enabled Cardano staking. Users can now stake ADA tokens directly through Coinbase to earn approximately 3.75% APY. By allowing users to generate yield by staking Cardano, Coinbase may be fueling more ADA purchases on the exchange.
While Cardano is currently enjoying positive price action, the same geopolitical tensions that drove it down to a local low of $0.76 a month prior still remain. Whether the broader crypto market has already priced in further market disruptions from the Russian invasion of Ukraine is not yet clear.
Disclosure: At the time of writing this piece, the author owned SOL and several other cryptocurrencies.
Share this article
The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
See full terms and conditions.
NFT Express: Your on-ramp to the world of NFTs
At Tatum, we’ve already made it super easy to create your own NFTs on multiple blockchains without having to learn Solidity or create your own smart contracts. Anyone can deploy…
Grayscale’s New Fund Focuses on Ethereum Competitors
Solana, Avalanche, Polkadot, and Cardano all feature in the new fund. Grayscale Highlights Smart Contract Platforms Grayscale’s new fund shines a light on some of Ethereum’s most promising competitors. The…
As Momentum Returns, Cardano and Ripple Target $1
Cardano and Ripple appear to be gaining significant bullish momentum. Cardano and Ripple Look Bound for Gains Sidelined investors appear to be re-entering the market to buy Cardano and Ripple. …
New Cardano DEX Hopes to Overcome Chain’s Scaling Woes
AdaSwap, a new ecosystem builder on Cardano, announced Tuesday that it had raised $2.6 million to build “the best, decentralized exchange on Cardano.” AdaSwap Raises $2.6M to Build First Working…
