- Cardano’s price gains 42% from yearly lows as double bottom signals potential short-term breakout.
- Emurgo’s launch of the Cardano Card boosts ADA’s utility with staking, DeFi yields, and treasury contributions.
- Cardano’s total value locked jumps 93% in a week, reflecting strong investor interest and rising network activity.
Cardano’s native token, ADA, climbed to $0.74, marking a 25.5% increase over the last week and a 42% gain from its yearly low. This movement is also in harmony with the more general technical arrangement because ADA is fulfilling a double bottom formation with its support at around 0.50 and a neckline at 0.76. The price has reached the important level of resistance, and a break may provoke a bullish movement to the level of $1.03.
The positive momentum accelerated following an announcement from Emurgo, one of Cardano’s founding entities. Emurgo introduced the Cardano Card, a new multi-functional payment solution enabling ADA to function as a spendable and yield-generating asset. While positioned as a payment tool, the card also offers staking, DeFi earnings, collateralized loans, and allocates a portion of its profits to Cardano’s treasury.
DeFi activity on Cardano sees sharp growth
On-chain data reflects increasing investor interest. According to DeFiLlama, Cardano’s total value locked (TVL) rose by 93% over the past week. Since July began, TVL across Cardano’s DeFi protocols climbed 28%, reaching $438 million. This surge suggests heightened network activity, improving liquidity and user participation, supporting the recent price uptrend.
Market sentiment has also shifted. CoinGlass data shows Cardano’s weighted funding rate turning positive at 0.012%, after staying negative earlier this month. A consistently positive funding rate indicates increased buying pressure from traders expecting price appreciation.
Technical indicators support continued uptrend
ADA’s simple moving average is going to cross above the 50-day average with a 20-day simple moving average. This formation is referred to as a golden cross, and it is normally a bullish signal.
In case ADA manages to overcome the resistance at the level of the $0.76 neckline, analysts can predict a possible increase up to the level of $1.03, which is considered to be the closest to the level of a 78.6% Fibonacci retracement.
