Cardano 40% Rally: Trump's Reserve Plan + Hoskinson's Bitcoin Integration

• Cardano retraces to $0.92 support, a normal move after recent price surge.
• ADA may consolidate near $0.92 before another pump.
• A break above $1.32 could propel ADA to a new all-time high.

Cardano’s ADA is among the major altcoin gainers, posting an impressive 40% rally in just 24 hours and hitting $1 after over a month. The unprecedented surge coincides with U.S. President Donald Trump’s announcement of the Crypto Strategic Reserve that would include ADA, Solana (SOL), XRP, and Bitcoin.

Speculation surrounding Cardano reached a fever pitch after founder Charles Hoskinson hinted that the token may be integrated into this reserve, allowing Bitcoin transactions while using ADA’s gas fee. This development could significantly enhancing ADA’s utility, and driving its adoption at levels not seen in the history of the Cardano network.

Technically, the 8th-ranked token has retraced to retest the crucial support area around $0.92. Such a move is considered perfectly normal after its recent explosive price surge. This retracement provides an opportunity for ADA to consolidate, potentially establishing a new base before its next upward movement. Traders anticipate ADA may remain within this support range for a few days, allowing for market stabilization and accumulation.

The key level to watch is the previous high of $1.32. A clean break above this resistance could signal a strong continuation of the bullish trend, propelling ADA toward a new all-time high. Traders should watch out for volume, which remains a key factor in confirming any future price movements. A surge in trading activity is expected to accompany a successful breakout.

Technical Indicators Flash Mixed Signals for Cardano

Looking at the technical indicators, the day-old chart suggests a period of consolidation before a potential upward move. The RSI (Relative Strength Index) at 42.96 indicates that ADA is not overbought, leaving room for further growth.

On the other hand, the SMA (Simple Moving Average) lines also fit the recent price correction, with the 5 SMA crossing below the 50 SMA, signaling a short-term bearish trend. However, this could be a temporary pullback before a resumption of the overall bullish momentum.

Investors are closely monitoring ADA’s ability to hold the $0.92 support and break above $1.32. The outcome will determine whether ADA enters a prolonged consolidation phase or embarks on a new rally toward uncharted territory.