Ethereum News Today: Cardano Surges 5.73% on Golden Cross and Treasury-Funded Upgrades

Cardano (ADA) has shown promising signs of a bullish reversal in early August 2025, following the formation of a golden cross on its hourly chart [1]. This technical pattern is created when the 50-hour simple moving average (SMA) crosses above the 200-hour SMA, signaling a potential shift in momentum. The event marks the first time this formation has occurred on Cardano’s chart in recent months, indicating that short-term selling pressure is easing and bullish sentiment is taking hold [1].

Prior to the golden cross, Cardano’s price experienced a downturn, with the asset dropping to a low of $0.684 on August 2 after a six-day decline. During that period, the price also formed a bearish death cross on the four-hour chart, a signal of negative market sentiment [1]. However, the recent price action has reversed this trend, with Cardano surging 5.73% in the last 24 hours to reach $0.80. This rise is part of a broader cryptocurrency market rally, fueled in part by optimism surrounding Bitcoin’s potential inclusion in retirement portfolios such as 401(k) plans [1].

Behind the price movement is a strong foundation of ongoing development efforts. Cardano’s core development team, Input Output (IO), has been granted access to $71 million from its treasury to fund network upgrades over the next 12 months [1]. Key projects in the pipeline include Hydra, which aims to enhance network scalability, and Project Acropolis, designed to improve smart contract capabilities and developer activity. These upgrades are expected to drive increased demand for ADA as more applications and use cases are built on the Cardano blockchain [1].

Analysts have taken note of the golden cross and the price action above $0.80 as significant indicators of a potential trend reversal. Some suggest that a successful breakout above this level could lead to a rally toward $1.30 or even $1.65, depending on broader market conditions [1]. The convergence of technical signals, strong fundamentals in the Cardano ecosystem, and rising derivatives activity points to growing institutional and retail interest in the asset [2].

The broader cryptocurrency market has also seen a shift in sentiment, with Ethereum (ETH) experiencing a sharp reversal in the past month. This turnaround has highlighted how quickly market dynamics can change, reinforcing the importance of monitoring on-chain metrics and sentiment shifts [3]. In this environment, Cardano’s performance above key levels serves as a bellwether for altcoins, with its success in holding above $0.80 seen as a sign of accumulation and investor confidence [1].

The macroeconomic landscape also plays a role in ADA’s recent rally. The US dollar has faced downward pressure amid dovish expectations from the Federal Reserve and ongoing tariff uncertainties, leading to a reallocation of capital toward alternative assets like cryptocurrencies [4]. In this context, Cardano’s ability to perform well amid such shifts has strengthened its case as a viable investment in a volatile market [4].

While the market remains subject to rapid changes, the golden cross and Cardano’s sustained performance above key support levels indicate strong potential for continued growth. Investors and traders are advised to monitor key price levels and volume patterns to better assess the sustainability of the current rally [1].

Sources:

[1] Cardano’s Golden Cross Signals Bullish Reversal Amid Market Rally

(https://cryptonewsland.com/cardanos-golden-cross-signals-bullish-reversal/)

[2] Cardano's Chart Screams Breakout as Descending Channel Break Signals 126% Rally to $1.65

(https://zycrypto.com/cardanos-chart-screams-breakout-as-descending-channel-break-signals-126-rally-to-1-65/)

[3] Altcoin Upside Underestimated as ETH Rebounds Fast

(https://blockchain.news/flashnews/altcoin-upside-underestimated-as-eth-rebounds-fast-sentiment-flips-from-eth-is-dead-to-eth-75k)

[4] US Dollar Struggles Amid Fed and Tariff Uncertainty

(https://www.investing.com/analysis/tariff-and-fed-developments-weigh-on-us-dollars-recovery-200665013)