Cardano (ADA) Flashes Breakout Signals after 3-day Consolidation

Cardano (ADA) price showed tepid price action, stalling around $0.75 over the weekend, while rivals Ethereum and Solana scored considerable gains

Cryptocurrency markets are showing signs of fatigue after a stellar run in 2024, with traders now awaiting fresh catalysts to drive the next leg of the bull market.

Among the top-10 coins, Cardano (ADA) is struggling to maintain bullish momentum as its 24-hour trading volume slid further to hit the lows of $620 million, compared to Friday’s $934 million.

This coincides with a blip in investor interest after a weekend of stellar gains for Ethereum and Solana, which saw ETH price attempt to reclaim the $2,550 handles and SOL price testing the $170 levels.

However, on-chain data trends, and latest updates from Cardano Founder Charles Hoskinson, point to an optimistic start for ADA price this week.

Here’s what traders need to know.

Cardano Founder Confirms Imminent DeFi Partnership with Litecoin

Last week, several X (formerly Twitter) accounts began speculating about a strategic DeFi collaboration between Cardano and Litecoin.

The discussion was sparked by crypto commentator Angry Crypto Show, who highlighted Litecoin’s strong branding and community engagement.

“Litecoin has incredible branding and a strong community. Charles has mentioned multiple times his interest to include Litecoin in a variety of DeFi options. It would be a perfect fit to expand the user base and provide more liquidity options to institutions considering entering the ecosystem. Lots of Litcoins to be made here!” the post read.

Within hours, Hoskinson himself responded to the post, confirming the partnership and expressing his enthusiasm for the Litecoin community.

“Love the Litecoin community and have known Charlie and Bobby for over a decade. Great community! We should do more together. Maybe Midnight would be a good start.

The comment hints at plans to integrate Litecoin into Cardano’s expanding DeFi ecosystem, possibly through its forthcoming privacy protocol, Midnight.

Such a partnership would represent a rare cross-chain bridge between two of the oldest and most resilient Layer-1 blockchains in the crypto market. The potential for multi-chain liquidity and broader DeFi participation could lift ADA’s utility and price trajectory heading into 2025.

This week, ADA price opened at $0.74, with investors now watching for a breakout above $0.78 to confirm bullish continuation.

How Could Cardano Partnership Impact ADA Price in 2025?

ADA ranks #9 by market cap, outperforming peers on a monthly basis. Analysts expect a DeFi-enabled Litecoin bridge to drive institutional adoption, enhance liquidity, and attract developers.

If the Litecoin-Midnight-Cardano integration rolls out in late 2025, ADA could see renewed momentum heading into Q4 2025. This aligns with previous ADA surges during major protocol launches such as Shelley and Alonzo upgrades in recent years.

Technically, if ADA flips $0.78 into support and breaks past $0.85, it could rally toward $1.00 in the short term. A functional DeFi ecosystem partnership with Litecoin could push ADA as high as $1.40 in 2025.

Cardano Technical Price Analysis: ADA Holds $0.72 Support as Key Indicators Hint at $0.78 Rebound

Cardano (ADA) appears poised for a cautious rebound, holding above $0.72 support despite broader market uncertainty.

The latest candlesticks show ADA consolidating near $0.74, just above the 50-day moving average at $0.7199, a key level that has repeatedly acted as a short-term floor since early May.

The 7-day simple moving average at $0.7702, now overhead, poses the next resistance barrier, with a daily close above it required to regain bullish momentum.

The Parabolic SAR flipped bearish on May 17 and continues to print above the current price at $0.8558, signaling caution from momentum traders.

However, the absence of aggressive selling pressure, evidenced by low volume delta readings, suggests ADA is more likely in a technical cooldown phase than entering a prolonged decline.

Midway through this technical range, market participants remain on alert for broader crypto sentiment, especially from Bitcoin price forecast trends, which influence ADA’s directional bias. If BTC maintains strength above $104,000, it could provide risk-on confidence, allowing ADA to retest $0.78 in the near term.

To the downside, a daily close below $0.7199 could expose ADA to a deeper retracement toward the 100-day SMA support at $0.6859.

Frequently Asked Questions (FAQs)