- The SEC should ship a last determination on Grayscale’s Cardano ETF by October 26, 2025.
- Over the previous 5 weeks, the Cardano worth correction resonated throughout the two trendlines of a flag sample.
- The momentum indicator RSI (Relative Energy Index) above 40% accentuates the restoring of the bullish momentum in worth.
ADA, the native cryptocurrency of the Cardano ecosystem, confirmed sturdy resilience above the $0.8 stage on Monday. The shopping for stress adopted a broader aid rally within the crypto market and traders’ anticipation of an ETF launch in October. The technical chart additional helps the bullish narrative because the Cardano worth bounced throughout the formation of a bullish continuation sample. Is a rally to $1 imminent?
SEC Faces October 26 Deadline on Cardano ETF
The U.S. Securities and Trade Fee (SEC) has a decent deadline to resolve on Grayscale’s proposed Cardano (ADA) exchange-traded fund by October 26, 2025. The submitting beneath a 19b-4 rule can’t be continued additional, and due to this fact, the tip of October is a important level for the mission and the crypto ETF business.
The evaluation is just weeks following the adoption of sweeping reforms by the SEC to its itemizing framework of spot commodity ETFs. Trade programs like NYSE, Nasdaq, and Cboe can launch crypto-linked merchandise a lot sooner and simpler beneath the brand new guidelines, lowering the time to approve new merchandise to virtually 9 months in some cases, right down to 75 days.
Analysts interpret this modification as a sign that the company is about to normalize different digital asset funding automobiles on high of Bitcoin and Ethereum.
Grayscale has already submitted an up to date S-1 to appropriate its submitting with a view to reinforce the argument that ADA must be included in regulated markets. Odds of approval have risen to 91% in current weeks on betting websites equivalent to Polymarket, which strongly signifies optimism.
Authorised, the Cardano ETF would supply conventional traders with ADA publicity with no custodial dangers and presumably rising liquidity, institutional inflows, and mainstream publicity. It might even be used as a precedent with different altcoin ETFs, the place Solana, XRP, and Litecoin merchandise are equally awaiting an SEC determination this October.
Flag Sample Units Cardano Price for Two Key Breakouts
Since final weekend, the Cardano price has showcased a bullish bounce from $0.757 to the present buying and selling worth of $0.813, accounting for 7.2% of development. The shopping for stress got here together with a aid rally within the broader crypto market as Bitcoin reclaimed $110,000, and the Ethereum worth jumped above $4,000.
Within the day by day chart, this upswing assists within the formation of a bullish continuation sample referred to as a ‘flag’. Theoretically, the chart setup is characterised by an extended ascending trendline reflecting the dominant power in worth, adopted by a brief pullback between two parallel trendlines to recoup exhausted bullish momentum.
With right this moment’s soar of 0.45%, the Cardano worth is heading near a bullish breakout from the mixed resistance of $0.8123 and day by day exponential transferring averages (20 and 50). The breakout would drive one other 7.5% surge in worth as patrons problem the important thing resistance at $0.89.
An upside breakout from this flag resistance can be key for Cardano worth to reclaim $1.
Quite the opposite, if the coin sellers proceed to defend the flag resistance trendline, the present correction would extend for the approaching months.
