The drop in the price of ADA coincided with the drop in the odds of approval for a Cardano ETF. Last month, the odds were 89%. Yesterday, they fell to 75%. By the close of this edition, a slight rebound to 80% was observed, according to data from Polymarket.
These fluctuations indicate that many are unsure whether these products will be approved or rejected. The odds depend on the SEC's evolution regarding cryptocurrency regulation. The SEC has stated that liquid staking is not a security. This means there is now room for growth for DeFi. Cardano has positioned itself in this sector with a TVL of over $325 million.
In addition to this, the Midnight Airdrop is underway and attracting a lot of attention in Cardano and the potential behavior of its price. Thanks to this airdrop, the number of ADA holders is approaching 3.1 million.
Therefore, with all these developments in the Cardano ecosystem, the drop in ETF odds may not affect investor confidence. If the overall market returns to an upward trend, the target of $5 proposed by analyst Crypto Front is likely to be reached.
