Cardano on June 5, 2025: Market Analysis and Growth Outlook

Analysis of ADA’s trend on June 5, 2025, focusing on selling pressure, institutional activity, and ETF speculation.

On June 5, 2025, Cardano (ADA) is experiencing significant attention amid selling pressure in the crypto market. The price is currently trading between $0.68 and $0.71, reflecting a 4.5% decline over the past 24 hours, primarily due to profit-taking after a recent rally and Bitcoin’s drop below $105,000, which has negatively impacted altcoins. A key factor influencing ADA is speculation around the potential approval of a Cardano exchange-traded fund (ETF) in the U.S. Analysts estimate a 75% chance of ETF approval by October 2025, which could drive significant institutional capital inflows. Additionally, Cardano’s announcement of a treasury audit in response to recent allegations has bolstered investor confidence. From a technical perspective, ADA is trading below its 50-day moving average (around $0.71) on the daily timeframe, indicating bearish pressure. The RSI, at approximately 43, is in a neutral-bearish zone, suggesting the market is not yet oversold. Key support lies at $0.68, with major resistance at $0.84. Failure to break $0.84 could lead to a decline toward $0.60. Institutional activity is notable, with ADA futures trading volume reaching approximately $920 million, signaling growing interest from large investors. However, the decentralized exchange (DEX) trading volume on Cardano’s chain has dropped to around $3 million daily, indicating reduced demand for blockchain usage. Macroeconomic factors, such as Federal Reserve interest rate policies and global trade tensions, continue to influence the market. Lower interest rates could channel capital toward cryptocurrencies, but ETF approval delays or stricter regulations could exert downward pressure. In the long term, Cardano’s network upgrades, such as Hydra and Midnight, and the growth of over 2,000 projects built on its blockchain, position it for significant growth potential. Investors should remain cautious and implement robust risk management strategies to navigate market volatility.