Will Rate Cuts and ETF Decisions Fuel the Next Rally?

Altcoins

After a record-setting run for Bitcoin that briefly carried the entire crypto market higher, digital assets are entering a cooling phase.

The retreat, however, may prove temporary – and some analysts think Cardano (ADA) could be among the biggest rebound stories heading into the year’s end.

Market Pause After Bitcoin’s Surge

Bitcoin’s climb above $126,000 earlier this week triggered a wave of optimism before profit-taking set in, pulling prices back toward the $123,000 zone. That same wave hit altcoins, with Cardano sliding roughly 3% over the past 24 hours, according to CoinGecko.

Yet, despite the short-term dip, Cardano remains one of 2025’s outperformers, still up more than 130% year-to-date. The token’s resilience has some analysts arguing that the latest decline is more of a breather than a reversal.

Catalysts That Could Lift ADA Again

Macro and regulatory factors may soon turn sentiment around. With the Federal Reserve expected to cut interest rates again this month, liquidity could flow back into crypto markets. Historically, lower rates have coincided with fresh rallies in Bitcoin – and when Bitcoin moves, altcoins tend to follow.

At the same time, anticipation is building around the SEC’s upcoming decisions on several spot crypto ETFs. If any are approved, analysts believe institutional capital could pour into the market, reigniting the bullish cycle that cooled in late September.

Cardano, which often mirrors broader investor confidence, could benefit directly from such developments.

Price Projections: Aiming for $1.34

Data from CoinCodex shows optimism returning among traders. Analysts there project ADA to reclaim the $1 mark by the end of October, eventually climbing toward $1.34 by late December – a move that would represent roughly a 60% gain from current prices.

This projection aligns with growing confidence that ADA’s fundamentals, particularly its strong staking network and steady developer activity, will keep it in investors’ focus once momentum returns.

Even with bullish expectations, experts caution that global uncertainty remains a risk. Any escalation in trade tensions, inflation surprises, or sudden policy reversals could weigh on risk assets across the board.

Still, as long as Bitcoin’s long-term structure remains intact and rate cuts continue, market watchers see Cardano as one of the altcoins best positioned for a rebound when sentiment improves.

The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

Author

Alexander Zdravkov is a person who always looks for the logic behind things. He is fluent in German and has more than 3 years of experience in the crypto space, where he skillfully identifies new trends in the world of digital currencies. Whether providing in-depth analysis or daily reports on all topics, his deep understanding and enthusiasm for what he does make him a valuable member of the team.