ADA Soars 15% Daily: But Is This Just the Beginning of a Bigger Rally?

TL;DR

• Cardano allocates $15M to adoption, partnering with NASA, FC Barcelona, and the UNDP in 2024.
• ADA gains 23% weekly as bullish momentum builds and traders eye $0.86 and $1.32 resistance levels.
• Whales acquire 120M ADA amid rising ETF approval odds, now at 89% per Polymarket data.

Cardano Foundation Boosts Spending in 2024

Cardano Foundation, a non-profit supporting the Cardano blockchain, reported spending $22.1 million across its core areas last year. This marks a 15% increase from 2023, when the foundation spent $19.22 million. 

The spending was directed toward adoption, operational resilience, and education, according to a report available via the Reeve on-chain tool.

More than half of the 2024 budget $15 million, was allocated to adoption efforts. These included partnerships with global organizations such as NASA, FC Barcelona, and the United Nations Development Programme. The goal was to drive real-world use cases of the Cardano network through these collaborations.

ADA Sees Price Increase Amid Bullish Momentum

Cardano (ADA) was trading at $0.72 at press time, with a 24-hour trading volume of $1.5 billion. The token has gained 15% in the past day and 23% over the last seven days. This growth follows a broader trend of rising interest in ADA, especially after the foundation’s reported increase in ecosystem investment.

Interestingly, technical analysts have raised the probability of a bullish reversal to 40%, suggesting that the correction phase may be over. For this scenario to unfold, ADA must break above resistance at $0.86. A further move above $1.32 would confirm the next upward wave, signaling a continuation of the current trend.

Ali Martinez also weighed in on the matter, indicating that ADA is currently sitting at the bottom of a parallel channel. The last time something similar occurred, the asset’s price flew by over 50%, as it happened in April.

Whales Accumulate ADA as ETF Hopes Grow

As CryptoPotato recently reported, large investors holding between one and ten million ADA acquired 120 million tokens in the past two weeks. This purchase amounts to over $71 million, bringing their total holdings to 5.57 billion ADA—about 15.4% of the total circulating supply.

Market attention is also on a potential spot ADA ETF in the United States. If approved, the product would offer traditional investors exposure to ADA through regulated brokerage platforms. Polymarket data shows the approval odds have increased from 56% in early July to 89% as of now.

However, while momentum builds, key price levels remain in focus. A break above $0.86 would strengthen the bullish case. The $1.32 mark is being monitored as the next resistance level. On the downside, support is expected near $0.31 if a pullback occurs.

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