Cardano's Strategic Turnaround: How Treasury Loan Approval and On-Chain Strength Signal a Catalyst for ADA's Next Bull Run

Cardano (ADA) is undergoing a pivotal strategic shift that positions it as a compelling investment opportunity in the current crypto cycle. The recent approval of a treasury loan to expand global exchange listings, combined with robust on-chain growth metrics and a maturing governance framework, has created a powerful catalyst for ADA's next bull run. This analysis examines how these developments align with broader ecosystem-driven value creation and investor sentiment, offering a roadmap for timing the next phase of Cardano's ascent.

Treasury Loan Approval: A Governance-Driven Strategic Bet

The Cardano Foundation's approval of a ₳5,000,000 (approximately $2–3 million) treasury loan to the Snek Foundation marks a significant pivot in how the ecosystem allocates resources according to a proposal on TradingView. Initially criticized by Cardano founder Charles Hoskinson for its noncore focus, the proposal was revised to a structured, repayable loan, addressing governance concerns and securing overwhelming support. The initiative received 85.71% of constitutional committee votes and 75.98% of DRep votes, reflecting a shift toward community-aligned priorities.

This loan is not merely a financial transaction but a strategic investment in ADA's visibility. By covering listing fees on centralized exchanges, the Snek Foundation aims to onboard new users and institutional capital, directly expanding Cardano's market reach. The transition from grants to repayable loans also signals a maturing treasury framework, where accountability and sustainability are prioritized. As The Cryptobasic notes, this move "demonstrates a commitment to leveraging treasury resources for long-term ecosystem growth rather than short-term gains."

On-Chain Metrics: A 3-Year High in DeFi and Network Activity

Cardano's Q3 2025 on-chain data paints a picture of a rapidly expanding ecosystem. Daily transactions surged by 15.7% quarter-over-quarter to 36,112, while active addresses rose 19.2% to 26,909. These metrics indicate growing user participation and network utility, critical for sustaining a bull market.

The DeFi segment, in particular, has seen a renaissance. Total value locked (TVL) on Cardano's blockchain jumped 28.7% to $423.5 million, the highest level since early 2022. Protocols like Liqwid and Minswap are leading the charge, with Liqwid's TVL increasing by 50.8% to $101.6 million and Minswap capturing 74.7% of decentralized exchange (DEX) volume during the quarter. This diversification of DeFi activity reduces reliance on a single protocol, enhancing the ecosystem's resilience.

NFT trading volume also saw a staggering 561.7% year-over-year increase, reaching $262,450 per day, while stablecoin market capitalization grew by 21.5% to $38.1 million. These figures underscore Cardano's role as a multi-use-case platform, capable of supporting both speculative and utility-driven applications.

Price Action and Whale Accumulation: A Bullish Confluence

ADA's price performance in Q3 2025 has been nothing short of remarkable. The token surged 41.0% QoQ to $0.81, with its market capitalization rising 42.5% to $29.5 billion. This rally coincided with aggressive whale accumulation: large holders acquired 348 million ADA (worth over $204 million) between November 7 and 10, representing nearly 0.94% of the total supply.

The price rebound from a $0.49 low to $0.6-accompanied by a 21% surge-has drawn attention to technical indicators suggesting further upside. Analysts highlight a "Power of Three" pattern, which historically predicts a breakout above $0.6 and a potential target of $0.73. Meanwhile, the Cardano treasury balance has grown to $1.3 billion, reflecting renewed confidence in the ecosystem's ability to execute on its roadmap.

The launch of a smart contract-based treasury framework has further enhanced transparency, with the Oversight Committee ensuring alignment with community-approved proposals. This institutional-grade governance structure is likely to attract risk-averse investors seeking long-term value.

Investment Timing: Aligning Catalysts with Market Sentiment

The convergence of these factors-strategic treasury use, on-chain growth, and bullish price action-creates a compelling case for ADA as a near-term investment. The transition to a fully community-elected Constitutional Committee, which removed major institutions like Input Output Global from governance roles, has also bolstered trust in the ecosystem's decentralization.

For investors, the key is to recognize that Cardano's value creation is no longer speculative but rooted in measurable outcomes. The Snek Foundation's listing initiative, for instance, directly ties to increased liquidity and adoption, while DeFi and NFT growth demonstrate a diversified revenue stream. As NewsBTC notes, "The correlation between whale accumulation and DeFi TVL growth suggests that institutional capital is beginning to view Cardano as a blue-chip asset."

Conclusion: A Catalyst-Driven Bull Case

Cardano's strategic turnaround is a masterclass in aligning governance, on-chain activity, and market dynamics. The treasury loan approval, while initially controversial, has been repositioned as a sustainable investment in global adoption. Meanwhile, Q3's on-chain metrics confirm that the ecosystem is not just surviving but thriving in a competitive landscape.

For investors, the question is no longer whether Cardano can deliver but when the market will fully price in these developments. With ADA trading at a discount to its intrinsic value and a robust pipeline of catalysts ahead, the next bull run appears well within reach.