After the Bitcoin and Ethereum ETFs SuccessAttention is now turning to Cardano (ADA), with rumors of a possible Cardano ETF gaining traction. Recently, Cardano founder Charles Hoskinson sparked optimism with a tweet suggesting that a Cardano ETF could be on the horizon.
Could this new development push the price of Cardano (ADA) back to its all-time high of $3.10?
Is Cardano ETF in play?
The speculation began when Tap Tools, a platform for tracking Cardano-based tokens and NFTs, tweeted about a possible “ADA ETF coming soon.”
Charles Hoskinson’s lighthearted response to the tweet with a GIF titled “Fine, I’ll do it myself” fueled hopes within the ADA community. While the response was lighthearted, it was interpreted as a positive sign for the potential launch of a Cardano ETF.
The beginnings of Ethereum ETF has had a notable impact on the crypto landscape, providing investors with a preferred way to invest in the second-largest cryptocurrency.
However, the introduction of a Cardano ETF could open a new investment avenue for ADA, potentially improving its visibility and influence in the market.
Cardano ETF Approval Could Hit $3.10
If a Cardano ETF is approved, it could have a major impact on the price of ADA. This could push ADA back to its previous high of $3.10, last seen during the 2021 bull market.
Currently, the ADA is trading around $0.391reflecting a recent decline of 5.41%. At the same time, analysts suggest that this decline could present buying opportunities, especially at the key support zone between $0.385 and $0.379.
Cardano Technical Analysis
IntoTheBlock Data In/Out of the Money Around Price (IOMAP) shows that approximately 161,130 addresses hold 1.91 billion ADA tokens at an average price of $0.385. This support zone aligns with the price range between $0.379 and $0.391, a crucial area for a potential price reversal.
In a bullish scenario, if ADA prices close above $0.445, they could rise by another 26%, potentially reaching $0.564, which is the 50% retracement level from the recent highs and lows.