Cardano News: Analyst Draws Correlation Between ADA and Business Liquidity Cycle

Key Insights:

  • In the latest Cardano news, ADA is included in the Grayscale CoinDesk Crypto 5 ETF.
  • Evaluating how business cycle correlation could influence ADA price as the FED embarks on liquidity expansion.
  • ADA price retests key support at the $0.50 price level.

In Cardano news, its native coin ADA could be on the verge of a major move to the upside that may have already kicked off.

Altcoins have been receiving more attention this week, and liquidity flows may favor the Cardano crypto in the coming months, according to a recent analysis.

Crypto analyst Dan Gambardello recently made an interesting ADA price prediction based on the upcoming changes in the business cycle. According to his analysis, the Cardano-native cryptocurrency has been moving with market liquidity flows dictated by Federal Reserve policies.

Gambardello’s analysis revealed that ADA price action has been mirroring the business cycle chart. This was important because the U.S Federal Reserve aims to end its quantitative tightening before the end of the year.

A shift to quantitative easing suggests that ADA bulls might be about to make a robust comeback. The bullish expectation aligned with its recent key price support retest.

ADA Price Rebounds from $0.50 Support

ADA price maintained a bearish bias in October, and it spilled over into the first week of November. However, Cardano found support near the $0.50 price level.

ADA price has since then recovered by roughly 25% at its $0.58 press time price tag. Meanwhile, the cryptocurrency also embarked on recovery after previously pivoting near the $0.50 support.

ADA Price Action | Source: TradingView
ADA Price Action | Source: TradingView

Apart from the October 10 crash, the other previous time that ADA price dipped into oversold territory was in June 2025, followed by a sharp recovery.

Interestingly, ADA price bounced off from the same support level back then, after which it attained a sizable rally by as much as 98%.

The correlation with the liquidity cycle suggests that Cardano may be preparing for a similar move to the upside once the quantitative easing phase kicks into high gear.

Cardano News: ADA in Grayscale CoinDesk Crypto 5 ETF

Analysts have been waiting for multiple ETF approvals in Q4 2025. However, the U.S government shutdown may have delayed some ETF approvals.

Despite that, there were some exceptions, such as the recently approved Solana ETFs.

ADA may not have received any ETF approvals recently, but was listed in the Grayscale CoinDesk Crypto 5 ETF.

According to the latest Cardano news, the latter is a spot ETF index consisting of 5 coins, including BTC, XRP, ETH, and SOL.

The crypto ETF index was not new since it received the SEC’s regulatory clearance in September. However, Grayscale just reminded the market of its existence, especially now that altcoins have been regaining hype.

Cardano News: ADA in Grayscale CoinDesk Crypto 5 ETF | Source: Grayscale, X
Cardano News: ADA in Grayscale CoinDesk Crypto 5 ETF | Source: Grayscale, X

The index highlighted one of the avenues through which investors across the globe may increase their exposure to ADA and other cryptocurrencies.

Cardano has at least 3 more spot ETFs pending approval.

Meanwhile, ADA spot net flows remained in the red since the start of November. However, net outflows cooled down significantly in the last few days, signaling that the bears were running out of momentum.

ADA net flows were positive by about $718,000 in the last 24 hours, underscoring a demand build-up.

This suggests that Cardano price may extend its rally in the coming days, especially if it can secure more bullish momentum.

It was worth noting that whales still demonstrated weak activity. In other words, the latest rally was still at risk of being watered down by existing uncertainty.

Source: https://www.thecoinrepublic.com/2025/11/10/cardano-news-analyst-draws-correlation-between-ada-and-business-liquidity-cycle/