Cardano Analysis on June 4, 2025: Bullish Outlook with Short-Term Challenges

Cardano faces price volatility on June 4, 2025. Network upgrades and institutional support bolster a bullish outlook, but short-term risks remain.

On June 4, 2025, Cardano (ADA) remains a prominent project in the cryptocurrency market but is experiencing price volatility. Currently trading between $1.45 and $1.55, ADA has dropped 12% from its recent high of $1.68. However, recent developments in the Cardano ecosystem and institutional support paint a positive long-term outlook. A key factor in Cardano’s market is the successful completion of the Chang Hardfork in September 2024, which improved on-chain governance and boosted adoption of decentralized applications (DApps). This upgrade, coupled with Cardano’s 2025 roadmap, which includes integrating Bitcoin as a smart contract layer and transaction aggregation, has drawn investor attention. Daily trading volume for ADA has reached $1.2 billion, and the total value locked (TVL) in Cardano’s DeFi protocols has risen 3.8% to $1.9 billion. From a technical perspective, Cardano is consolidating around $1.45, with the Relative Strength Index (RSI) at approximately 44, suggesting potential for building bullish momentum. Analysts believe breaking the $1.54 resistance could drive the price toward $1.8 or even $3 in the coming months. However, a breach of the $1.4 support level might lead to a correction down to $1.3. Whale activity in the Cardano market has also increased, with a transfer of 45 million ADA, worth roughly $65 million, to exchanges reported. This could signal either accumulation or selling pressure. Additionally, speculation about spot Cardano ETFs being approved in 2025, with a 65% likelihood, is fueling market optimism. Nonetheless, Cardano faces challenges. A decline in daily trading volume compared to last month and macroeconomic pressures, such as Federal Reserve monetary policies, could impact the price. Competition from blockchains like Solana and Ethereum also remains a threat. Overall, Cardano’s outlook is bullish due to technical advancements, such as the Chang Hardfork and an ambitious 2025 roadmap, as well as growing institutional support. Investors should monitor regulatory developments, whale activity, and technical trends. With its scalable infrastructure and focus on innovation, Cardano remains a leading contender in the cryptocurrency market.