Cardano News Today: x402 Protocol's HTTPS-Like AI Payments Could Reshape Blockchain Economy

Cardano's x402 Proof-of-Concept Upgrade Sparks Renewed Focus on ADA Price Surge

Cardano (ADA) has re-entered the spotlight as its x402 upgrade, a major step toward blockchain automation, fuels speculation of an 80% price rally. Technical analysts highlight a bullish cup-and-handle pattern on ADA's daily chart, suggesting a potential breakout above $0.73 resistance, which could propel the token toward $1.20 by early 2026, according to a CoinGape report. The upgrade, which enables AI-driven on-chain payments, is being positioned as a catalyst for broader adoption, with Charles Hoskinson describing it as "very big for Cardano" due to its long-term implications for decentralized finance (DeFi) and real-world use cases, as CoinGape notes.

The x402 protocol, initially launched by Coinbase in May 2025, has seen explosive growth, processing nearly 500,000 transactions in a single week—a 10,780% surge from the prior month, according to a CryptoNews report. By reviving the HTTP 402 "Payment Required" status code, the protocol allows AI agents and users to execute stablecoin transactions seamlessly, bypassing traditional intermediaries. This innovation has spurred the creation of x402-based tokens, such as PING, which surged to a $30 million market cap within days of its launch, according to a Bitget article. The protocol's adoption by tech giants like Google, AWS, and Visa further underscores its potential to become a standard for machine-to-machine (M2M) payments, the Bitget article adds.

Cardano's integration of x402 aligns with broader industry trends, as AI agents increasingly manage financial tasks autonomously. Developer Patrick Tobler emphasized that the upgrade allows AI to perform "verifiable, automated payments," bridging blockchain with real-world automation, as CoinGape reported. Meanwhile, Coinbase's x402 protocol has drawn comparisons to HTTPS for Web2, with proponents arguing it could underpin a $30 trillion AI-driven economy by 2030, according to CryptoNews. However, risks remain, including regulatory challenges, technical vulnerabilities in AI coding tools, and speculative frenzies around x402-linked tokens, warnings highlighted by CryptoNews and Bitget.

ADA's price trajectory hinges on maintaining support above $0.63 and breaking through key resistance levels. If successful, the token could reclaim $1.00 and test $1.20, bolstered by growing institutional interest and the REX-Osprey crypto ETF filing, CoinGape noted. Conversely, a failure to hold $0.63 might trigger a pullback, though long-term bullish sentiment persists amid the x402-driven ecosystem expansion.

As the x402 protocol gains traction, it remains to be seen whether it will solidify as a foundational layer for AI and blockchain convergence or fade as a speculative fad. For now, Cardano's strategic pivot toward AI payments—and the accompanying price momentum—has rekindled investor optimism.