Trump Boosts Cardano: ADA Futures Surge Amid U.S. Crypto Reserve Proposal
1min read Former President Donald Trump's recent announcement to include Cardano (ADA) in a proposed U.S. strategic cryptocurrency reserve has sparked significant interest among traders and investors. This move comes as futures trading in Cardano gains traction, with the altcoin's futures on the Bitrue exchange experiencing notable popularity.
The inclusion of ADA in a U.S. crypto reserve has led to a surge in trading activity, with futures positions indicating strong bullish sentiment. According to Bitrue, the ADA/USDT trading pair has become the fastest-growing pair in futures, reflecting robust market optimism about ADA.
Trump's proposal to incorporate Cardano into the U.S. strategic cryptocurrency reserve marks a pivotal moment for the altcoin, which has historically struggled to maintain relevance in the competitive crypto market. This move not only endorses ADA but also reflects a growing recognition of its potential role within a diversified digital asset portfolio.
In light of Trump's announcement, ADA futures trading has skyrocketed on the Bitrue exchange. As of March 3, the notional value for ADA futures exceeded $26 million, a substantial increase from a previous average of approximately $15 million just days earlier. The bullish sentiment is evident, as nearly 92% of the open positions are long, indicating traders are betting on further price increases for Cardano.
Following Trump's declaration, ADA's price experienced a remarkable spike, gaining over 40% within 24 hours. This surge underscores the market's reaction to the news, as investors quickly sought to capitalize on anticipated future demand for the altcoin. Additionally, the announcement catalyzed a broader positive trend across several cryptocurrencies mentioned in Trump's post, including XRP and Solana.
Despite the recent surge in trading activity, it's crucial to analyze Cardano's overall market health. The cryptocurrency's fully diluted valuation stands around $40 billion, significantly lower than Ethereum's current valuation, which exceeds $260 billion. Furthermore, ADA's total value locked (TVL) is approximately $440 million, starkly contrasting with Ethereum's over $50 billion, as reported by DefiLlama. These metrics reveal that while Cardano is gaining attention, it still faces considerable challenges in competing with established networks.
The inclusion of Cardano in a national strategy presents potential growth opportunities 