Cardano's ADA token surged by 11% following Grayscale Investments' application for the first-ever spot ADA exchange-traded fund (ETF) in the U.S. According to CoinDesk data, ADA's price increased to 80 cents, although it remains 36% lower than its December high of about $1.37. Grayscale's application aims to allow investors exposure to ADA without holding the token directly, a venture that follows the successful launch of Bitcoin and Ether spot ETFs, which have drawn significant institutional investment. Despite this momentum, the Chicago Mercantile Exchange (CME) has yet to list ADA futures—a requirement for U.S. ETFs that helps address concerns about price manipulation. Meanwhile, market sentiment appears to shift from meme coins to Layer 1 assets, indicating a more stable investment environment. Bitcoin has been trading within a narrow range, hindered by trade war concerns and rising inflation, while Ether is similarly rangebound. Analysts suggest that despite current volatility, Bitcoin maintains a solid long-term value proposition as an alternative asset amid increasing institutional interest.

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