Cardano Price Surges 12% as Traders Reenter Market Amid U.S. Inflation Drop

Cardano (ADA), the 10th largest cryptocurrency by market cap, surged over 12% in the past 24 hours, with trading volume hitting 2.19 billion ADA—equivalent to $1.36 billion—according to CoinMarketCap. ADA climbed to a session high of $0.645 after dropping to $0.537, marking a sharp rebound that formed a large green candlestick on the daily chart. This comes after two days of losses, with the token falling to $0.51 on Monday. At the time of writing, Cardano is up 8%, trading around $0.613.

The increase in volume, albeit a modest 1.29% uptick, is significant as it indicates traders may be reentering the market after a period of caution. The broader crypto market is also trending green, boosted by a relief rally in equities.

The rally gained momentum following Thursday’s U.S. inflation data. The core Consumer Price Index (CPI), which excludes food and energy, rose just 0.1% from February—its smallest increase in nine months. On a yearly basis, core CPI rose 2.8%, the lowest in nearly four years. This eased concerns around monetary policy, potentially signaling a future shift by the Federal Reserve.

Cardano founder Charles Hoskinson shared a bullish outlook, forecasting Bitcoin could reach $250,000 by late 2025. Speaking to CNBC, he said the market may stabilize over the next few months, followed by a speculative wave around August or September. Hoskinson also suggested tech giants like Apple and Amazon could adopt stablecoins if favorable legislation passes.

As inflation eases and investor sentiment shifts, ADA’s recent price action could signal the start of renewed interest in the crypto market.