On March 2, 2025, President Donald Trump promised to include Cardano (ADA) in the U.S. Strategic Crypto Reserve, causing the price of ADA to skyrocket by 58% in just 90 minutes. But just 4 days later, Trump changed his plans, pushing ADA into a 'stockpile' that could not be purchased further, leading to a drop of $15 billion in market capitalization. What happened, and what will the future of ADA be amidst the political and market divide?
Trump's Promise: ADA Surges
On March 2, Trump announced $ADA as one of the 5 assets selected for the Strategic Crypto Reserve, alongside $XRP , Solana (SOL), Bitcoin (BTC), and another asset, coinciding with the fund backed by David Sacks – Trump's ally. This commitment caused ADA to jump from a low price to $1.14, reflecting the belief that Trump supported altcoins, despite the SEC's stance under Gary Gensler considering ADA, XRP, and SOL as 'unregistered securities.' This disappointed 'Bitcoin maximalists' (BTC maximalists), as Trump seemed to show no favoritism towards BTC.
ADA's breakthrough has much to do with Charles Hoskinson – the founder of Cardano, former CEO of the Ethereum Foundation. Over the past year, Hoskinson has actively engaged in politics: forming a Political Action Committee (#PAC ), supporting presidential candidates in the U.S., donating to Senate campaigns, and appearing at various events with Trump's allies. Politics has 'paid the price' when ADA caught Trump's attention.
Sudden Broken Promise: ADA Falls Into 'Stockpile'
But the joy was short-lived. On March 6, Trump and Sacks changed their plans: splitting the reserve into two parts – one BTC reserve allowed for additional purchases, and a 'stockpile' for altcoins that could only be held or sold, not newly purchased. ADA, along with ETH, XRP, and SOL, was pushed into the stockpile, losing the opportunity to benefit from government purchases. The rumor that Hoskinson was invited to the White House Crypto Conference on March 7 also did not come true – he was absent, further disappointing the Cardano community.
Results: ADA dropped from a peak of $1.14 to $0.73 (as of March 12), wiping out all gains from March 2. ETH, XRP, and SOL also plummeted, returning all initial profits. From the 5th position in market capitalization ($41 billion on March 2), ADA fell to 8th, losing $15 billion in just 10 days.
Altcoin Stockpile: What is Its True Value?
Although included in the 'U.S. Digital Asset Reserve' (different from 'Strategic'), ADA only occupies a tiny fraction. According to Arkham, with preliminary data from Sacks' audit, the U.S. government may be holding under $1 million in ADA – almost meaningless compared to its $26 billion market size (as of March 12). Without plans for further purchases, the value of ADA in this reserve is mainly symbolic, insufficient to drive prices as initially expected.
Hoskinson and the Cardano Community: How Are They Responding?
After the shock, Hoskinson shifted to commenting on the crypto market, criticizing Solana and meme coins, posting humorous memes, while focusing on #IOHK – the company developing Cardano – and other projects. Although he failed to get ADA into the center of Trump’s policy, he still maintained a leadership role in the community. However, investor sentiment has turned pessimistic, as ADA no longer benefits from the 'Trump effect.'
Impact on the Crypto Market
Short-term: ADA dropped 36% from its peak ($1.14 to $0.73) reflecting FUD (fear, uncertainty, doubt) after Trump's broken promise. On Binance, traders need to monitor the ADA/USDT pair: support at $0.70 is the bottom level, resistance at $0.80 if it recovers. BTC ($80,000) and ETH ($1,760) also face pressure from macro instability (liquidation of $930 million on March 11), but ADA suffered more due to the loss of its political 'charm.'
Long-term: Trump's prioritization of BTC could solidify its position as 'king of crypto,' while altcoins like ADA, XRP, and SOL lose growth opportunities from government capital. Cardano needs to rely on internal upgrades (like Basho or Voltaire) to regain momentum, but competition with ETH (Pectra) and SOL will be fiercer without 'Trump leverage.'
Trader's Perspective
On Binance:
ADA/USDT: Buy at $0.70 if it holds, take profit at $0.80-$0.85 if sentiment improves.
BTC/USDT: Compare with support at $75,000 and resistance at $85,000 to assess the overall trend.
Investors need to be cautious with the Fear Index (24) and Trump’s policies.
Conclusion: Does ADA Have Any Opportunities Left?
Trump's promise to include ADA in the Strategic Reserve was once the 'light at the end of the tunnel,' but the broken promise has cost Cardano $15 billion and trust. For Binance users, this is the time to watch: can ADA recover thanks to its own strength, or will it continue to lag in the shadow of BTC? Politics has 'paid the price,' but this price is too high for Cardano.
Risk warning: Crypto investment is highly risky due to price volatility. Only invest money you are willing to lose. #anhbacong
