Trump's crypto reserve boosts ADA futures trading

Following President Donald Trump's announcement to include Cardano's ADA (CRYPTO:ADA) in a U.S. strategic cryptocurrency reserve, traders have shown significant interest in ADA futures.

According to Bitrue, a crypto exchange, the notional value of ADA futures held by traders has surged to over $26 million, up from a daily average of about $15 million in late February.

Nearly 92% of these open positions are long, indicating a strong bet that ADA's price will rise.

Trump's decision to add ADA, along with XRP (CRYPTO:XRP), Solana (CRYPTO:SOL), Bitcoin (CRYPTO:BTC), and Ethereum (CRYPTO:ETH) to the reserve has sparked both excitement and skepticism within the crypto community.

The inclusion of ADA, in particular, has been notable, as it was previously not mentioned in Trump's plans for a strategic crypto reserve.

This move has led to a significant increase in ADA's price, with gains exceeding 40% in the first 24 hours after the announcement.

Industry leaders have mixed reactions to Trump's initiative.

Some view it as a positive step for the crypto sector, while others criticise the inclusion of lesser-known cryptocurrencies like ADA, suggesting it could lead to centralisation risks and potential conflicts of interest.

"It's not the job of the government to run an ersatz crypto hedge fund," noted Nic Carter, General Partner at Castle Island Ventures.

The announcement also highlights broader questions about the operational structure and regulatory framework of the crypto reserve.

Trump's plans are part of a broader strategy to position the U.S. as a leader in digital assets, with a White House Crypto Summit scheduled to discuss these initiatives further.

In the context of Cardano's performance, ADA's inclusion in the reserve is particularly significant.

Despite being created by Ethereum co-founder Charles Hoskinson, Cardano has faced challenges, including performance issues and production delays, which have impacted its market value compared to Ethereum.

At the time of reporting, the Cardano (ADA) price was $0.7954.