ProShares 2x Leveraged Cardano ETF Launch Could Push ADA Toward $0.50

In a major development for the crypto market, ProShares launched its 2x leveraged Cardano (ADA) ETF. This is the next chapter for institutional participation in the blockchain space. The new instrument enables traders to take advantage of the leveraged effects of the ADA price action, which could help them double their gains during an uptrend.

Source: X

This particular launch is indicative of the increasing mainstream adoption of Cardano, with institutional demand for altcoins with huge potential increasing. It has been suggested that leveraged ETFs could attract hedge funds and institutional investors in particular, who could be looking for complex trading strategies, in turn increasing the visibility of ADA.

Also Read: Cardano (ADA) Faces Brutal 82% Upside Test Ahead

Cardano (ADA) Eyes Next Wave Amid Correction

However, the crypto analyst, Man of Bitcoin, highlighted that Cardano (ADA) is now trying to test the 50% Fibonacci level in wave (2), which is an important level during a correction.

It has been suggested that at least one more low will be made before this correction is completed. This is normal Elliott Wave action as wave (2) commonly takes several swings before setting up a bullish move.

Source: X

The positive aspect is that if it can move above $0.438, it may indicate the beginning of wave (3). Wave (3) in the Elliott Wave principle has always been the strongest wave.

This may cause a bullish rally. Everyone is waiting to see if it can move past this level because if it does, it may indicate the start of an uptrend.

Cardano (ADA) Stabilizes After Recent Drop

Cardano (ADA) is trading at $0.397, showing some signs of recovery from the recent drop below the short-term EMAs. The 20, 50, 100, and 200 EMAs are converging at $0.396, showing some level of consolidation. Cardano had seen some price action above $0.420, but it could not sustain it, showing some accumulation at the current levels.

Source: TradingView

The RSI (14) is stuck at 49.99, which is just above the middle zone and indicates ADA is not overbought or oversold. This is an indication that there is equal selling and buying pressure on ADA, which can lead to a potential breakout if the buying pressure picks up again.

Traders can keep an eye on EMA crosses and RSI indicators to determine the trend. Support is at $0.393, and resistance is at the previous high of $0.420.

Also Read: Eric Adams Under Fire For Suspected Memecoin Rug Pull