Here’s Why Cardano (ADA) Could Blow Up in The Coming Weeks

The altcoin season has yet to kick off, but Cardano’s native token ADA is already close to crushing its eighth-month high. Fortunately, the market intelligence platform Santiment has identified on-chain signals that suggest the ninth-largest cryptocurrency could record even higher gains in the coming weeks.

Per Santiment’s analysis, ADA is witnessing significant on-chain activity, with a notable spike in whale transactions and overall transaction volume.

ADA Sees High On-chain Activity

ADA transaction volume is currently at a seven-month high, with market participants having transacted $52.26 billion this week alone. Likewise, ADA whale transactions have increased for two consecutive weeks, hitting a six-month high of more than 8,900.

This uptick in network activity has caused ADA to decouple from the altcoin pack. Among the top ten altcoins by market cap, ADA is leading in daily and weekly gains, challenged only by Ripple’s native token XRP, which recently surpassed the $1 threshold for the first time in three years.

Data from CoinMarketCap shows ADA changing hands at $0.82 at the time of writing, up over 12% daily and roughly 55% weekly. Cardano’s monthly gains sit at nearly 130%, indicating a substantial rally over the last 30 days.

According to Santiment, Cardano’s price ratio against bitcoin (BTC) is also nearing its eight-month high. The last time ADA saw this level of whale activity and transaction volume was in June 2024, shortly before the ADA/BTC pair experienced a 26% surge.

ADA Could Hit $1 Soon

Besides the high transaction volume and whale activity, several off-chain factors have contributed to Cardano’s remarkable rally over the past weeks.

Following Donald Trump’s emergence as the United States presidential election winner earlier this month, Charles Hoskinson, the founder of Input Output Global (IOG), the entity behind the Cardano network, revealed that he would take up a role in the Trump administration.

Hoskinson said he would spend 2025 working with policymakers in the United States to create a clear and possibly favorable regulatory framework for the local crypto industry. Notably, this development will affect IOG as the company implements internal changes that will allow for a unit dedicated to helping establish crypto regulations.

ADA reacted to the news by surging 30% in a few hours. Analysts expect the coin to crush the $1 mark soon, making the most of the bull cycle.