Can Cardano Supercharge Bitcoin? @IOHK_Charles Reveals All

During a recent interview, Hoskinson stated that fiduciary obligations will compel institutional investors to explore Bitcoin-based DeFi solutions.

Cardano founder Charles Hoskinson has revealed that the cryptocurrency network is working on integrating Bitcoin into the decentralized finance (DeFi) space.

In a recent interview, Hoskinson stated that fiduciary obligations will compel institutional investors to explore Bitcoin-based DeFi solutions.

“My estimation is that over a three-year period, we'll see a complete integration of large institutions into Bitcoin DeFi, catalyzed by Cardano's unique infrastructure. For instance, if a Bitcoin ETF begins offering DeFi yields, there will be immense pressure on the ETF to increase the price of Bitcoin to generate higher yields for its vast shareholder base,” said Hoskinson.

The Cardano network is planning to integrate its Hydra scaling solution with the Bitcoin Lightning Network to bridge the two ecosystems in a trustless and recursive manner.

Moreover, the Cardano network’s Aiken programming language will allow developers to write both Bitcoin and Cardano scripts, according to Hoskinson.

Furthermore, Cardano has partnered with Maestro, an infrastructure provider specializing in Bitcoin integration with UTXO-based blockchain, to ensure a seamless user experience for users.

“We're still in the early stages of Bitcoin DeFi, but the progress we're making is remarkable. Cardano is uniquely positioned to integrate its DeFi framework with Bitcoin, unlocking new levels of utility for the world's largest cryptocurrency,” added Hoskinson.

The goal is to enable Bitcoin holders to interact with DeFi applications using BTC. In doing so, he claims that they would quickly outsize the combined DeFi ecosystems of Ethereum and Solana.

ADA Price Analysis

Meanwhile, Cardano’s native token ADA has recorded a 1.5% growth in its price after a struggling time. After losing 10% in a week, ADA dipped below the crucial $0.664 support level on March 31. However, it has since shown signs of recovery, climbing to $0.673.

The token remains the ninth-largest cryptocurrency, boasting a market capitalization of $23.74 billion, according to CoinMarketCap data.

On the daily ADA price chart, the RSI hovers around 42, indicating neutral momentum but leaving room for a potential upside.

Source: TradingView

Bollinger Bands show that ADA recently touched the lower Bollinger band, signaling a possible reversal if buying pressure increases. If the token manages to break the middle band (20 day SMA), traders could see a breakout above $0.72.

Moreover, the MACD is showing a slight bearish crossover, suggesting caution in the short term.

If the price breaks the 200-day SMA, it could signal a strong bearish trend, but if it manages to stay above the SMA and the lower Bollinger band, it could indicate a continuation of the bullish trend.

Finally, if the price breaks the 50-day SMA, it could signal a weak bearish trend.

As for support levels, the first one is at $0.650, followed by a stronger support zone between $0.610 and $0.600. On the other hand, the first resistance level is located near $0.685, while a stronger resistance zone lies between $0.72 and $0.73.

Source: TradingView

Popular crypto analyst Rjt Wagmi recently noted on X that ADA seems to be forming an ABCDE triangle pattern on the 6-hour price chart, suggesting that a major breakout could be on the horizon.

Cardano loading up. ABCDE triangle in play. C wave down now, D & E next.

A bounce from the 0.5-0.618 Fib zone could set up a massive move to $1.5.

This is where OGs buy. You know the drill.$ADA is waking up… send it! 🚀 pic.twitter.com/R0emKapzVG

— RJT. WAGMI (@RJT_WAGMI) March 31, 2025

According to his analysis, the C wave of a 5-3-5 structure is currently in progress. If the pattern holds, we can expect a bounce from the key 0.5-0.618 Fibonacci retracement zone. This bounce would then set the stage for the final D and E waves to unfold.

According to Wagmi, this pattern, if validated, could send ADA towards $1.50 in the coming weeks.