Cardano Poised for Potential Rally as SEC Delays ETF Decision
The crypto market is buzzing with speculation around Cardano (ADA) as the U.S. Securities and Exchange Commission (SEC) once again delays its decision on Grayscale's spot Cardano Exchange-Traded Fund (ETF). This postponement has sent ripples through the altcoin's price action, prompting analysts to scrutinize its technical patterns for clues on future movements, with many suggesting a significant rally could be on the horizon.
Regulatory Roadblocks and Market Resilience
SEC Pushes Back Cardano ETF Review
The SEC has deferred its final decision on Grayscale's spot Cardano ETF application for an additional two months, setting a new deadline of October 26, 2025. This latest delay aligns with similar postponements seen across various other crypto-based ETFs, including those for Solana (SOL) and XRP, which have also had their review periods extended to mid-October. The regulatory body cited the necessity for "sufficient time to consider the proposed rule change and the issues raised therein" as its justification.
ADA's Steady Performance Amid Uncertainty
Despite these regulatory hurdles and a recent market correction that saw Bitcoin dip to its lowest point in over a month, Cardano (ADA) has demonstrated notable stability. The altcoin successfully recovered from its weekend downturn, repeatedly retesting and holding above the crucial $0.85 support level. While it has faced resistance in firmly reclaiming the $0.90 mark, ADA has maintained its trading within a relatively tight $0.84-$0.96 range since its early August breakout, which previously propelled it to a five-month high of $1.02. Currently, Cardano shows a daily increase of 4%, trading at $0.87.
Is a Major ADA Breakout Imminent?
Historical Patterns Hint at Bullish Momentum
Crypto analyst "Crypto Bullet" has drawn parallels between Cardano's current market behavior and its trajectory during the 2017-2018 bull cycle. According to this analysis, ADA underwent a multi-year accumulation phase (2019-2020) after that cycle, characterized by a double bottom pattern. A subsequent breakout in late 2020 then triggered a massive surge, leading to Cardano's all-time high of $3.09. If this historical pattern holds, the analyst suggests Cardano is now in a re-accumulation phase following a Q4 2024 rally, potentially preceding a significant pump towards the $1.70-$2.10 range.
Bitcoin's Influence and Key Price Targets
However, market watcher Sebastian cautions that Cardano's performance largely hinges on Bitcoin's next move, anticipating a potential retracement for the leading cryptocurrency. From a technical perspective, Cardano has been forming a bullish flag pattern since its early August breakout, with the $0.90 area acting as the upper boundary. A decisive breach above this resistance could see ADA rally towards a target of $1.20. Conversely, a failure to break past this level might lead to a pullback towards the lower trendline, around the $0.80 support mark.
