Cardano (ADA) has been in a bullish trend in August, posting a 30.52% 30-day gain and climbing to $0.795 at press time. The move aligns with a broader altcoin surge as Ethereum’s ETH/BTC ratio jumped 41% over the last month, signaling capital rotation from Bitcoin into higher-beta assets.
CoinMarketCap’s Altcoin Season Index has surged around 70% in the last 30 days, moving from 24 in early June to 41, showing an increased inflow into Layer-1 plays like Cardano.
Cardano trading volume has also exploded 74% in 24 hours to $1.47B, a liquidity spike that comes as derivatives markets heat up. Global open interest hit $745B, a sign traders are leveraging up for potential upside.
Market Catalysts and Sentiment Shift
Two key developments have boosted confidence in the ADA price. First, Cardano’s governance recently approved a $71M treasury allocation for upgrades like Ouroboros Leios and Hydra scaling, its most significant community-directed funding to date.
The plan includes a global events push aiming for 15–25% annual enterprise growth, enhancing institutional appeal.
Second, anticipation around the Midnight (NIGHT) airdrop and cross-chain capability upgrades has sparked optimism for DeFi expansion. The excitement mirrors ADA’s 8% jump post-roadmap announcement, as noted by trader Lingrid on CoinMarketCap, who sees a potential push toward $0.88 if ADA holds above $0.78 support.
“This setup mirrors previous breakouts… a breakout toward the $0.88 target zone looks increasingly likely,” she posted.
Cardano Price Bullish but Testing Key Resistance
On the 4-hour chart, ADA price has broken above its descending trendline at $0.735, with volume confirming the breakout (+69.79%). Price now tests the $0.81–$0.82 zone, a resistance level that capped rallies in July.
Cardano’s price has risen above $0.735 after a 69.79% increase in trading volume. It is now testing resistance levels of $0.81–$0.82 from July. The main support levels are at $0.7978 (38.2% Fib) and $0.78. The resistance levels to watch are $0.848 (23.6% Fib) and $0.88.
The RSI is neutral at 55.81, and the Bollinger Bands are widening. There has been steady buying pressure since mid-July, as seen in rising Accumulation/Distribution.
If the price of ADA stays above $0.82, it could rise to $0.848 and $0.88 soon. However, if it fails to break past $0.82, traders might take their profits, which could cause ADA to drop to $0.78 or even $0.75. If the Cardano price falls below $0.75, it could break the current upward trend and fall to around $0.70.
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