Cardano Surges 9.9% on Grayscale ETF Filing and Network Upgrades

Cardano ($ADA) surged to $0.966 amid speculation surrounding a potential Grayscale ETF and a significant network upgrade, drawing attention from both retail and institutional investors. The cryptocurrency’s recent 9.9% increase reflects growing optimism that the digital asset could break into new price territory as infrastructure developments and institutional interest converge [1]. This surge follows Grayscale’s filing for a Cardano Trust ETF in Delaware on August 12, 2025, which has raised the possibility of a listing similar to that of Bitcoin’s successful ETF [2]. Analysts are now placing the odds of approval at 62% via prediction market platform Polymarket, signaling strong institutional confidence [3].

Simultaneously, the Cardano network is preparing for a pivotal upgrade cycle. The Hydra Layer-2 scaling solution is nearing mainnet deployment, with recent controlled tests showing the potential to process over one million transactions per second (TPS) [4]. Additionally, the Ouroboros Leios protocol upgrade is expected to significantly enhance transaction throughput while preserving security and decentralization. These improvements are part of a broader strategy to boost developer engagement and DeFi activity, with the total value locked (TVL) on the network currently at $415 million [5].

Further bolstering Cardano’s infrastructure is Project Acropolis, set to launch in Q4 2025. This initiative will overhaul the node architecture, reduce RAM usage by 40%, and improve synchronization times for node operators. These changes are expected to simplify third-party contributions and strengthen the overall ecosystem [6]. Cardano founder Charles Hoskinson has emphasized the project’s resilience, contrasting it with the recent collapse of Monero, to reinforce investor confidence [7].

On-chain activity also suggests bullish sentiment. A record amount of ADA—15 billion tokens, or 42% of the circulating supply—has remained dormant for over a year, indicating long-term holding behavior. In the recent price rally, whale activity has been notable, with 420 million $ADA added to large wallets within 48 hours. Specifically, whales purchased 200 million $ADA ($157 million) during the recent price surge, signaling cautious optimism [8].

Technically, ADA’s recent rally was fueled by a breakout from a base-building phase, marked by a moving average crossover where the 20-SMA crossed above the 50- and 100-SMAs. However, the price has stalled near the $1.00 psychological level, encountering resistance in a key supply zone. The 4-hour chart reveals expanded volume during the breakout, but sellers have taken control below $1.00, evidenced by a sharp upper wick and ongoing retracement. Momentum indicators such as the RSI and MACD suggest a pullback phase rather than a reversal, as buyers remain active but face stiff resistance [9].

If ADA manages to push above $0.965, it could regain upward momentum and retest the $1.00 level. A successful breakout would likely see further accumulation by long-term holders and institutional investors. While the $0.88–$0.90 range could act as a support level in a potential pullback, the broader technical and fundamental factors suggest that ADA remains in a strong bullish phase.

Analysts have suggested that with continued institutional adoption and successful network upgrades, ADA could eventually reach $1.50–$1.75. These price targets, however, remain speculative and depend on broader market conditions and regulatory developments [10].

Source:

[1] Cardano Surges Amid Grayscale ETF and Network Upgrade Hopes [https://cryptonews.com/news/cardano-ada-price-soars-to-0-966-on-grayscale-etf-hopes-and-major-network-upgrade-is-1-50-possible/]