ADA (Cardano) Loses Some Gains But Reclaims Uptrend as Whales Accumulate

ADA, the native token of the Cardano blockchain, is gaining significant attention from crypto enthusiasts following an asset manager's move to file

The price of ADA, the native token of the Cardano (CRYPTO: ADA) blockchain, is surging after an asset manager filed to launch a Cardano Exchange-Traded Fund (ETF) in the U.S.

The development comes after crypto exchange Coinbase applied to launch a Bitcoin (CRYPTO: BTC) ETF earlier this year.

The U.S. Securities and Exchange Commission has yet to approve any cryptocurrency-related ETF.

However, the applications and the growing interest in cryptocurrencies among mainstream investors are setting the stage for the eventual approval of a crypto ETF.

Cardano (ADA) Price Today: ADA is currently trading at $0.77, up 11.06% over the past 24 hours. The asset reached an intraday high of $0.815, surging 16% at the time.

The broader crypto market is also surging, with the total crypto market cap rising 3.04% to reach $2.74 trillion, while total 24-hour crypto volume now stands at $206.04 billion.

ADA Price Analysis: From the technical perspective, ADA is currently facing resistance at the $0.85 level, where it faced strong selling pressure on Monday.

If ADA manages to rally and close a daily candle above the $0.85 resistance level, it could surge 32% to reach the $1.13 level in the future.

However, if ADA fails to break through the $0.85 resistance, it could experience another round of sell-offs, leading to a possible drop to the $0.734 support level.

At the $0.734 support level, there are a large number of traders holding long positions and are over-leveraged, with $18.80 million in long positions at this price.

On the other hand, if ADA continues to rally and breaches the $0.85 level, there will be traders holding short positions that are over-leveraged, with $18.20 million in short positions at the $0.826 price level.

ADA Price Surges on U.S. ETF Application: CryptoSlate previously reported that ADA experienced a sell-off after hitting an intraday high.

The asset began to experience massive sell-offs as it approached a crucial resistance level.

The development comes after an asset manager filed for a Cardano ETF in the U.S.

The application follows a recent move by Coinbase to launch a Bitcoin ETF earlier this year.