The cryptocurrency Cardano (ADA) saw a significant boost to its market capitalization on the back of a positive reaction to the latest U.S. inflation data.
According to CoinMarketCap, Cardano’s market cap surged from $15.4 billion to over $15.9 billion in a single trading session. This half-billion-dollar increase allowed ADA to leapfrog Shiba Inu (SHIB) to become the 10th largest crypto by market cap, though it still trails Dogecoin (DOGE) in 9th place.
The catalyst was the slightly lower-than-expected Consumer Price Index (CPI) reading, which stoked expectations of potential interest rate cuts by the Federal Reserve down the road. This prospect buoyed crypto markets broadly.
Specifically for Cardano, its native ADA token saw its price spike 4.2% to $0.448 as investors piled in following the last few days of declines.
The sharp rally highlighted the continued relevance and potential of Cardano in the dynamic crypto space. As economic data shapes market sentiment, assets like ADA could see significant price swings.
Cardano’s ability to rapidly recoup over $500 million in market value underscores its popularity among crypto investors looking to capitalize on shifting economic conditions and monetary policy expectations.
