Cardano Price Prediction: $1 Breakout and 2025 Updates Set to Boost ADA

• Cardano’s price surged by 31.4% in the first three days of 2025 and crossed the $1 mark due to network upgrades.

• The CIP-113 proposal introduced programmable assets, enhanced security, and real-world asset integration.

Cardano (ADA) started the year 2025 in the right way by trading above $1 and rising by 31.4% in the first three days of the year. This has been attributed to the sentiment that founder Charles Hoskinson had been dropping clues concerning new developments and upgrades on the network.

Cardano has trounced other leading digital currencies, such as Bitcoin (BTC), which rose by 7 percent, and Ethereum (ETH), which gained 8%. The rise of ADA stems from the network’s presentation of the CIP-113 proposal, which seeks to improve asset programmability and security.

CIP-113 makes it possible to work with stablecoins, securities, and real-world assets, which is good news for investors and analysts. Charles Hoskinson’s vote of confidence in these updates has boosted the campaign, with ADA increasing to $1.10 in just three days.

Cardano DeFi Growth

The Cardano’s Total Value Locked (TVL), on the other hand, has been on the rise, as has the price. According to DeFiLlama, there was an increase from $423 million on December 30 to $562.2 million by January 4. This 32% growth is organic capital inflow, proving that there is a high demand for the services of the blockchain.

Source: DeFiLlama

This rising trend in the total value locked up is an indication of a stable rally and not merely due to speculation. According to analysts, the rising DeFi usage on the Cardano network may drive the price of ADA even higher. The $1.20 target is feasible in the short term, and the support levels at $1.00 and $0.98 hold the price in place.

ADA traders have marked $1.05 and $1.10 as key resistance levels. A breakthrough of these levels may open the way to a new rally that could bring the price to $1.50. Higher trading volume, marked by a 16.31% rise, points to strong buying pressure in line with the current trend.

Market sentiment remains very positive as well. The historical trend line demonstrated ADA has the potential to continue with the bullish trend after a consolidation phase. The analysts pointed to the similarity between the current rally and Cardano’s 2018-2021 rally, which saw the token’s price go up by more than 4000%.

Potential Long-Term Growth Catalysts

As reported by CNF, Charles Hoskinson has shared his positive outlook for Cardano’s development, pointing to the possibility of connecting with Bitcoin DeFi via the BitcoinOS network. This could provide much-needed liquidity to the ecosystem, opening up new prospects for development and usage.

Moreover, the emphasis that Hoskinson has made on decentralization speaks volumes of the network’s efforts to improve governance and scalability. He still holds the anti-centralization view, which is quite popular among the members of the cryptocurrency community. 

As disclosed by CNF, whales have purchased over 20 million ADA in the market in the last two days alone. This build-up is accompanied by enhanced trading activity, which has grown to $917 million. ADA has rallied more than 10% in the last 24 hours and has risen by 22.21% in the last week. It has also seen its 24-hour trading volume go up by 24.48% to $2.09 billion, a sign of improved investor confidence.