Cardano price held steady close to the year-to-date high as sentiment in the crypto market improved following Friday’s Jay Powell speech. ADA was trading at $0.922, up by 80% from its lowest level in April, and Charles Hoskinson expects more gains ahead.
Charles Hoskinson Identifies Catalysts for a Crypto Bull Run
Hoskinson, Cardano’s founder, believes that the crypto market is on the verge of a bull run. In an online video, he cited two main catalysts that will spark this bull run.
First, he believes that the Federal Reserve will start cutting interest rates in September, drawing investors to risky assets like stocks and cryptocurrencies. Jerome Powell, Fed’s Chairman, hinted at a potential cut in his speech at the Jackson Hole Symposium on Friday.
Second, Hoskinson pointed to the Digital Asset Market Clarity Act, commonly known as the CLARITY Act. This act, part of Crypto Week, aims to simplify crypto regulations in the US by separating the key jurisdictions between the SEC and the CFTC.
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Hoskinson has also maintained a bullish outlook for the Cardano price for several reasons. First, he believes that the upcoming Midnight Network will lead to more activity in the chain by addressing the privacy gap that exists in other chains.
Midnight is a Cardano sidechain whose token is currently being claimed by holders of top cryptocurrencies like Bitcoin, Ethereum, XRP, Cardano, and Solana.
Hoskinson also believes that incorporating Bitcoin into Cardano will be a bullish catalyst for the network. Cardano has partnered with BitcoinOS, a leading company in this field. The goal will be to simplify how people generate yield from their Bitcoins.
The challenge, however, is that developers have not fully embraced Cardano. There are only a handful of decentralized applications on its network, and the supply of stablecoins in its network has dropped to $39 million, slightly down from the all-time high of $40 million.
Cardano Price Prediction
ADA price chart | Source: TradingView
Technical analysis points to more ADA price gains in the next few weeks. It has already formed a golden cross pattern on the daily chart.
Cardano price has also moved slightly above the important resistance level at $0.8637, its highest level in May, and the neckline of the double-bottom pattern at $0.5090.
ADA price remains above the 50-day moving average, and the Supertrend indicator has turned green.
Therefore, Cardano will likely continue soaring, with the next key resistance level to watch being the year-to-date high of $1.0200, its highest level on August 14. A move above that level will point to more gains towards last year’s high of $1.3258.
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