Crypto: Cardano Reaches A Record Of Optimism Despite Its Drop

Cardano (ADA) is generating exceptional optimism among investors. According to Santiment, the positive sentiment around this crypto has reached its highest level in four months, despite the recent collapse of its price.

Cardano explodes the confidence gauge of investors

Cardano (ADA), one of the leading alternative cryptos in the market, has just reached its highest level of positive sentiment in four months.

According to the data provided by the analysis platform Santiment, which specializes in studying behaviors on social networks, the ratio of positive to negative comments regarding Cardano currently stands at 3.5 to 1. This statistic demonstrates robust investor confidence despite recent market fluctuations.

This resurgence of optimism occurs in a particular context for Cardano, as the altcoin has experienced significant volatility in recent weeks. Data analysis shows that this increase in sentiment could constitute an early indicator of a possible technical rebound, although experts remain cautious about short-term projections.

The Cardano community, known for its loyalty to the project, maintains its confidence in the fundamentals of the ecosystem and ongoing technical developments, notably the continuous improvements of the smart contract platform.

Persistent challenges despite optimism

A rumor, since denied, partially fueled the recent enthusiasm. It claimed that the U.S. Securities and Exchange Commission (SEC) favorably classified the use of ADA as “smart contracts for government services”.

However, verifications showed that a simple third party had submitted this document, which was circulating on social media, to the SEC’s website, without any official validation from the regulatory institution.

On March 2, 2025, Cardano experienced a spectacular surge following the surprise announcement of its potential inclusion in a “crypto strategic reserve” alongside Bitcoin, Ethereum, Solana, and XRP. However, this euphoria was short-lived. The price has since dropped by more than 38% from its peak, wiping out almost all recorded gains.

Currently, Cardano is in a market capitalization battle with Dogecoin (DOGE). ADA is valued at around $25.5 billion, while DOGE closely follows with $25 billion. This competition illustrates the changing dynamics of the altcoin market, with DOGE gaining 4% last week while ADA lost ground.

Recent technical analyses suggest that Cardano may find support around current levels, with several indicators showing overbought signals that could indicate a short-term technical rebound.

Despite the significant price correction, the exceptional increase in positive sentiment around Cardano reflects the resilience of its community. Meanwhile, the SEC is evaluating Grayscale’s ADA ETF proposal, a development that could strengthen its position in the increasingly competitive crypto market.