Cardano Surges: One of the Altcoins Benefiting Most from the Trump Winds as ADA Doubles in Value
The price of Cardano (ADA) surged by 105% to reach $0.60 following lobbying efforts from its founder, Charles Hoskinson, towards the newly elected President Donald Trump. This rally gained momentum last week as individual investors became increasingly interested in ADA, fueled by expectations of fairer crypto regulations under the Trump administration.
Following Trump's victory, news emerged that Gary Gensler, the Chairman of the U.S. Securities and Exchange Commission (SEC), would resign from his position on November 11. Gensler's resignation is particularly significant for Cardano, which has long faced scrutiny from the SEC. In July of last year, Cardano was classified among altcoins that violated securities laws by the SEC, which had dampened institutional investor interest in ADA.
Hoskinson's pledge to collaborate with Trump and regulatory expectations On November 9, Cardano's founder Charles Hoskinson announced in a social media video his commitment to working with the Trump administration to establish a regulatory framework for the cryptocurrency sector. Hoskinson noted that the new Republican administration presents a significant opportunity to shape crypto policy and provide clarity in the sector.
He also revealed that Input Output Global (IOG) would be creating a policy division focused on crypto regulation, which will work on key legal frameworks such as financial innovation and technology law, expecting to start hiring in early 2025.
Individual investors leading in the Cardano market Despite the recent price increase, Cardano is primarily supported by individual investors. According to blockchain data, most of the trades during the recent surge in ADA's price were conducted by small investors. The average transaction size was 486,900 ADA on November 4, when the market rally began, dropping to 319,700 ADA by November 10.
This decline in average transaction size indicates that large institutional investors have not yet entered the market. However, the participation of whales could potentially lead to a new spike in Cardano's price. If individual interest remains strong and large investors join the market, a continued rally in ADA is anticipated.
Current status of ADA price ADA started the week facing resistance at the $0.60 level, positioning itself among the top-performing altcoins last week. If it manages to break through this level, Cardano's next target could be $0.81, the highest point of the year.
However, if buyer momentum weakens, a decline in price to $0.54 appears possible. The entry of whales into the market could further support Cardano's upward movement.