Why Is the Cardano (ADA) Price Up Today?

TL;DR

• ADA jumped to $1.05, possibly driven by overall market recovery, whale purchases, and Cardano partnership rumors.
• Analysts predict the asset could reach $1.20 soon, with long-term targets as high as $7 based on technical patterns and upcoming developments.

What Caused the Pump?

Cardano’s ADA is among the best-performing cryptocurrencies today (January 15), with its price soaring to a one-week high of approximately $1.05 (per CoinGecko’s data). Its market capitalization jumped above $37 billion, thus solidifying the asset’s position in crypto’s top 10 club.

Perhaps the most obvious reason fueling the rally is the overall resurgence of the digital asset market. Bitcoin (BTC), whose price briefly dipped below $90K a few days ago, is now worth around $97,000. Ethereum (ETH), Solana (SOL), Ripple (XRP), and many others have also charted impressive gains in the last 24 hours.

Another factor could be the whale activity. The popular X user Ali Martinez revealed that such large investors have accumulated more than 100 million ADA (worth over $100 million) in the past 48 hours. 

Whale purchases reduce the available supply, potentially creating buying pressure and pushing prices higher due to basic economic principles. The move often signals confidence in the asset, encouraging smaller players to follow suit, further amplifying the upward price movement. 

Last but not least, ADA’s latest pump could be attributed to the speculations about an upcoming partnership between Ripple and Cardano. The leaders of the two entities have held discussions in the past few months. Most recently, Cardano’s founder Charles Hoskinson hinted the possible collaboration could involve the integration of Ripple’s stablecoin:

“We’ve already had a call with the RLUSD people. We are actively talking.”

ADA Predictions

Many market observers think Cardano’s native token has yet to reach new peaks. X user Ssebi claimed the asset had formed a “big W pattern” on its price chart. According to them, ADA is headed toward $1.20 because it broke the $1.02 depicted resistance. 

Others who weighed in lately include Dan Gambardello and Altcoin Daily. The former believes ADA has “one of the most bullish weekly pattern setups in crypto,” envisioning a potential price explosion to as high as $7.

Altcoin Daily made optimistic forecasts about numerous cryptocurrencies at the start of the year, predicting that ADA’s valuation might reach $6.45 sometime in 2025. 

Meanwhile, Cardano is poised for significant advancements over the next 12 months that could drive its token’s price higher. To explore what’s planned, check out our detailed video below: