Cardano on June 3, 2025: Growth with Institutional Support and Market Challenges

Cardano rises with network growth and institutional support, but trade tensions pose risks.

Cardano (ADA), a leading Layer 1 blockchain, is trading around $0.67 as of June 3, 2025, reflecting a 1% daily increase. The cryptocurrency has seen a 12% gain since the start of 2025, up approximately 15.5% from its February low of $0.58. This growth is driven by recent network developments, institutional support, and speculation around a potential ETF approval. The Cardano network, with a total value locked (TVL) exceeding $1.2 billion and over 4.5 million active addresses, remains one of the most active blockchain ecosystems. The Chang hard fork in September 2024, which introduced advanced decentralization features, has bolstered investor confidence. Additionally, a major financial institution recently invested $150 million in ADA, adopting it as part of its reserves. Speculation about a Cardano ETF approval by the SEC by the end of 2025 has further fueled market optimism. From a technical perspective, Cardano is testing the $0.7 resistance level. A breakout could push prices to $0.85–$1, while key support lies at $0.65. A drop below this could see prices fall to $0.5. The Relative Strength Index (RSI) at 48 indicates neutral but growing momentum. Daily trading volume has surged 50% to $890 million, reflecting heightened market interest. However, Cardano faces challenges. Global trade tensions, particularly U.S. tariff threats against Canada and Mexico, are exerting downward pressure on high-risk assets like ADA. The Federal Reserve’s tight monetary policies add further risks. Additionally, competition from other blockchains like Solana and Ethereum could impact Cardano’s growth. Bitcoin’s dominance dropping below 70% suggests the start of an altcoin season, which could benefit Cardano. Analysts predict that with ETF approval and continued network advancements, Cardano could reach $1.5 by the end of 2025. For investors, buying at support levels of $0.65–$0.67 and awaiting a resistance breakout is advisable. In conclusion, Cardano is at a critical juncture. Network developments and institutional backing are bullish factors, but macroeconomic risks and competition require caution. Investors should monitor regulatory developments and macroeconomic news, using technical analysis to identify optimal entry points.