- ADA surged 29% after T. Rowe Price added Cardano exposure through an active crypto ETF.
- Whale selling and bearish derivatives positioning now signal caution after the sharp rally.
- ADA could target $0.29 if bulls break above the critical $0.249 resistance level.
Cardano has caught traders’ attention after ADA delivered a powerful 29% weekly rally. The token climbed as market sentiment improved across the broader crypto sector. Fresh institutional exposure also strengthened the bullish narrative around ADA. T. Rowe Price recently added Cardano to an active crypto ETF. That move helped ADA recover after a recent setback. However, traders now face rising profit-taking and growing signs of short-term caution.
T. Rowe ETF Addition Gives ADA a Fresh Boost
ADA currently trades around $0.223 after extending last week’s strong advance. The rally followed news that T. Rowe Price added ADA exposure. The asset manager oversees roughly $1.87 trillion in assets. T. Rowe Price launched the Active Crypto ETF in July 2026. The fund trades under the TKNZ ticker and initially held several major assets. Bitcoin and various altcoins formed part of the original portfolio.
Cardano, however, did not appear among the initial holdings. That changed after the fund added ADA with a 0.43% allocation. TKNZ now holds roughly 416,620 ADA tokens. The position carries an estimated value near $81,000. The addition arrived shortly after Grayscale withdrew a Cardano ETF application. Grayscale pulled the application on August 10. The decision contributed to a sharp decline in ADA’s price.
ADA fell toward $0.196 after the withdrawal announcement. T. Rowe Price’s ETF inclusion then helped reverse that weakness. The move gave traders another reason to reconsider ADA’s short-term outlook. Broader market conditions also supported the latest rally. Positive sentiment returned after the US Treasury increased debt buyback operations. The policy shift helped improve confidence across risk assets. Crypto markets responded with stronger buying activity.
Cardano Network Activity Strengthens the Bullish Case
On-chain data provides another reason for bulls to remain optimistic. Cardano’s decentralized exchange activity has increased sharply in recent days. DEX volumes climbed from $4.15 million on August 20. The figure reached $16.1 million by August 22. That jump signals stronger activity across Cardano’s decentralized finance ecosystem. Total value locked also increased during the same period.
DeFi TVL climbed from $54 million to $60 million. Rising TVL suggests more capital continues entering Cardano-based applications. Stablecoin supply also showed gradual growth. Cardano’s stablecoin supply rose from $65 million on August 8. The figure reached approximately $67 million afterward. These metrics suggest the network continues attracting fresh on-chain activity.
Stronger usage could support ADA’s longer-term recovery if momentum persists. The technical setup also remains constructive despite short-term profit-taking. ADA currently trades above both the 50-day and 100-day EMAs. The 50-day EMA sits near $0.187. The 100-day EMA stands around $0.196. Holding above both averages keeps the broader recovery structure intact.
