ADA Stalls Despite Midnight Buzz: Hoskinson Points to Crypto Fatigue

Generated by AI AgentCoinSageReviewed byAInvest News Editorial Team
Thursday, Jan 1, 2026 6:44 pm ET1min read
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Aime RobotAime Summary

- Cardano's

ADA
remains near $0.35 despite Midnight's $9B volume surge, as founder Charles Hoskinson cites crypto market fatigue and distrust.

- Midnight's NIGHT token briefly outperformed

Bitcoin
but failed to boost ADA, which fell 60% in 2025 amid ETF-driven gains for Bitcoin and
Ethereum
.

- Technical indicators show mixed signals for ADA, requiring a $0.40 breakout to challenge key resistance or risk a decline toward $0.30 support.

- Hoskinson prioritizes development over price speculation, as Cardano's TVL drops 36% to $186 million despite Midnight's privacy-focused dual-token system.

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.