Cardano (ADA) has gained 8% over the past 1 month as it keeps testing the resistance level at $0.76 which it has been trapped in since March. However, based on a surge in interest, the coming day could see further gains which could potentially give a new all-time high.
Cardano $ADA Ranks #2 in Community Support Votes
Cardano is now the second most community-supported cryptocurrency on CoinMarketCap, right behind Bitcoin.
Source: x.com/TapTools
According to TapTools tweet on X, ADA received 4,844 community votes on CoinMarketCap, with 87.0% of voters feeling bullish about the coin’s future. Bitcoin had a slightly higher rate at 87.3%, based on 9,438 votes.
All Eyes on the SEC ADA ETF Decision
Tomorrow is going to be a big day for the cryptocurrency as the U.S. Securities and Exchange Commission is set to rule on Grayscale’s spot ADA ETF application on May 29, 2025.
Originally, the SEC deadline was April 14, 2025, but a March 11 SEC release announced a 45-day extension which means the SEC now has until May 29 to approve, reject, or further review the ETF application. The extension allows the SEC more time to carefully consider the proposal and address any concerns raised.
Moreover, the crypto space is optimistic. On Polymarket, over 71% of users believe the ETF will be approved, while Bloomberg analyst Eric Balchunas estimated a 75% chance. If the SEC approves the ETF, it could open the door for more institutional investment and potentially push ADA’s price above the $0.76 resistance level.
Aside from the developments around the ADA ETF, Cardano has seen increased on-chain activity. According to DeFiLlama, the total value locked (TVL) on Cardano’s DeFi platforms stands at around $346.12 million. Although this is smaller compared to some blockchains, it shows steady growth in decentralized finance applications on Cardano.
The network supports 48 active DeFi apps, including lending, borrowing, and yield farming platforms. Some projects on Cardano, like Indigo, offer competitive yields, such as 28% on stablecoins and 20% on Bitcoin-wrapped assets, although rewards are often paid in native tokens, which can affect investor interest.
Is ADA Price About to Rally?
Technically, ADA’s overall market is bullish. After briefly crossing above the $0.76 resistance on May 25. The price dropped back and started consolidating downwards. However, on the 4-hour chart, a bullish flag pattern has been formed with price rejecting upwards. This indicates that a rally might be coming.
ADAUSD Daily Chart | Source: TradingView
Moreover, the RSI on the daily timeframe is at 48 which means there’s still room for the bull to take over. Still, the market is still uncertain and SEC decision on ADA ETF tomorrow will determine where the market goes.
