Cardano Price Forecast: Can Bitcoin’s latest $100k breakout trigger a 40% ADA rally? 

Cardano price rose 5% on Tuesday to break the $0.95 resistance.
The Layer-1 sector grew by a mild 0.2%, with all top seven altcoins registering intraday gains.
ADA Open Interest plunged 20% in 10 days, while prices only declined 16%, signaling active short-covering purchase.
Cardano price rose 5% on Tuesday, as the crypto markets staged an early recovery from the Deepseek fuelled market downturn on Monday. Derivatives markets trends reflect how bull traders’ resilience triggered an early rebound. Cardano (ADA) has been making significant strides in the cryptocurrency market, with its price crossing the $0.95 mark, marking a 4% increase over the last 48 hours.This upward movement is part of a broader recovery in the crypto markets following a downturn influenced by various external factors.The crypto market experienced a downturn on Monday, primarily driven by concerns over a new AI innovation from China that could potentially challenge the dominance of the US markets.This led to over $960 million in liquidation losses across global markets. However, the focus shifted as analysts began discussing Trump’s policy updates and upcoming macroeconomic data reports.This shift in focus, along with positive developments in the Layer-1 sector, sparked a major rebound in the crypto markets.Layer-1 Sector Performance | Coingecko, January 2025The Layer-1 (L1) sector has been a significant driver of the market recovery. According to data from CoinGecko, as of January 28, 2025, the L1 market cap stands at $2.84 trillion, with a 0.2% change in the last 24 hours. The 24-hour trading volume for L1 coins is $92,626,564,998. This sector includes major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and Solana (SOL), which have also shown positive movements.Cardano  price increase to over $0.95 can be attributed to several factors. First, the overall recovery in the crypto market has provided a positive environment for Cardano’s growth.As part of the L1 sector, Cardano has benefited from the sector’s strong performance. Technological Developments: Cardano’s ongoing development and adoption of new technologies have increased investor confidence.Cardano (ADA) Price Action As Cardano approaches $1, the focus will likely shift to how it performs relative to other major cryptocurrencies.With Bitcoin retaking $100K, the market’s attention is on whether Cardano can maintain its upward momentum.The upcoming week will be crucial, with investors watching for any signs of further growth or potential corrections.Cardano’s recent price action, crossing $0.95 with a 4% gain over the last 48 hours, is a testament to its resilience and potential in the cryptocurrency market.As the market continues to evolve, Cardano’s position within the L1 sector and its technological advancements will be key factors in determining its future performance.Cardano’s (ADA) price has shown resilience, increasing by 5% following Monday’s market crash. Despite the downturn, derivatives market