ADA Stalls Despite Midnight Buzz: Hoskinson Points to Crypto Fatigue

• Cardano (ADA) remains near $0.35 despite Midnight's surge as the top trending crypto token.
• Founder Charles Hoskinson attributes stagnation to broader crypto fatigue from years of market turmoil.
• Midnight briefly saw $9B daily volume before crashing 45% amid holiday lulls.
• ADA fell 60% in 2025 while Bitcoin and Ethereum gained ETF-driven inflows.

Cardano's ADA continues trading near $0.35, down 60% year-to-date despite the successful December launch of its Midnight privacy sidechain. The NIGHT token briefly outperformed Bitcoin and Ethereum in social trends yet failed to lift ADA's value, prompting founder Charles Hoskinson to cite widespread crypto market distrust. Volatility persists as technical indicators flash mixed signals ahead of key resistance levels.

Why Isn't Cardano (ADA) Gaining Despite Midnight's Popularity?

Charles Hoskinson directly attributes ADA's stagnation to a 'broken' crypto market recovering from scams and manipulation. He notes rebuilding confidence may require months despite Midnight's initial success, where daily trading volume briefly hit $9 billion. That surge proved unsustainable, with NIGHT volume later plunging 45% to $110.89 million amid broader holiday slowdowns.

Can Midnight Solve Cardano's Ecosystem Challenges?

Midnight aims to boost Cardano's DeFi scale through zero-knowledge proofs and private transactions. The dual-token system separates governance (NIGHT) from fees (DUST) to attract institutional capital. Yet ADA's ecosystem struggles persist, with TVL dropping 36% to $186 million this year. Strategic shifts continue as Hoskinson reduces social media engagement to prioritize development over price speculation.

What's the Technical Outlook for ADA in Early 2026?

ADA shows conflicting signals after forming its first golden cross of 2026. Derivatives data reveals bullish positioning with futures open interest climbing to $729 million. The token must reclaim $0.40 resistance to challenge the 50-day EMA at $0.4379. Failure risks a slide toward $0.30 support if selling pressure intensifies.