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Cardano Primed for Explosive Reversal as Futures Volume Soars to 5-Month Peak

Cardano Primed for Explosive Reversal as Futures Volume Soars to 5-Month Peak

Published:
2025-08-18 11:52:02
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Cardano's price action is flashing bullish signals—just as derivatives traders pile back in. Futures volume just hit its highest level since March 2025, suggesting big money is positioning for a breakout.

The sleeping giant awakens

After months of sideways action, ADA's chart is coiling like a spring. That spike in futures activity? Traders aren’t hedging—they’re hunting gains. When liquidity floods back into a dormant market, things get volatile fast.

Smart money’s dirty little secret

Institutional players love ‘boring’ assets right before they moon. Cardano’s developer activity never slowed during the bear market—now the speculators are catching up. Funny how that works.

One final hurdle remains before confirmation: ADA needs to smash through its local high with conviction. Do that, and suddenly ‘overbought’ becomes ‘just getting started.’ Fail, and well… at least the staking rewards are decent.

Either way, Wall Street’s late as usual—retail’s already front-running the move.

Cardano price analysis

After testing the key $1 resistance on August 14, Cardano (ADA) price faced a sharp rejection, leaving behind a long upper wick on the daily chart. Since then, Cardano price has been consolidating above the $0.90 support. Momentum indicators suggest fading strength: the RSI, though still holding at 62 on the daily, has begun trending downward, while the MACD shows signs of bullish momentum cooling. The price is also hovering just ~1% above the 7-day EMA, teetering dangerously close to a potential breakdown below it.

Even so, the broader uptrend remains intact. cardano price has formed a series of higher highs and higher lows since its $0.51 base — the second double bottom in a prior double-bottom formation, which broke out at the $0.86 neckline.

In the near term, Cardano price may test the $0.86–$0.90 support zone, which aligns with the ascending trendline of the current uptrend. A strong bounce from this level on rising volume would confirm a higher low, keeping bulls in control and setting the stage for a retest of $1, with the potential to reach $1.10–$1.15 on the next higher high.

Cardano price heats up for reversal confirmation as futures volume hits 5-month high - 1

Source: TradingView

Cardano futures at 5-months high

If the uptrend structure continues, cardano price could extend its rally toward the $1.50 region in the coming weeks, according to crypto analyst Ali Martinez.

Supporting the bullish outlook, Cardano futures volume has surged to $6.96 billion — its highest in five months — signaling increased participation from derivatives traders. Historically, rising futures activity often precedes stronger spot price moves, suggesting the current pullback could be an ideal “buy the dip” opportunity ahead of a major Cardano rally.

Cardano $ADA futures volume hit $6.96 billion, the highest level in 5 months! pic.twitter.com/johcnW7PQr

— Ali (@ali_charts) August 17, 2025

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