I don't see why not. I have used fondant on the scratch white cake recipe that I use and it has cake flour in it. If your cake isn't a "soft" cake like angel food or chiffon then fondant will more than likely work. 
Last year when I wanted to make a cake and cover it with fondant, I did a lot of research first (that's how I roll!). I read that you needed to use a pound cake recipe in order to avoid putting too much weight on your cake. So I used the pound cake mix rather than making one from scratch. It was my first time using fondant.
Since then I have noticed that books that are written showing character cakes use AP flour and fondant. Book that use butter cream icing and no fondant (Whimsical Bakehouse, for example) use cake flour.
In testing these recipes, I find that the cakes from the character books are denser than the cakes from books using butter cream and no fondant. So now depending on what I am using for the icing I will switch back and forth between recipes.
I have not covered a cake with fondant when I have used cake flour. I want to try some day because I like a cake made with cake flour better than one made with AP flour. Mamawrobin has hands on experience. But I just wanted to point out my observation of the different recipes.
Cake flour cupcakes are my favorite, but that doesn't help you at all!
If you do put the fondant on the cake, can you let us know how it worked out? It would be very interesting to see your results.
The recipes I use for stacking sometimes involve cake flour and AP flour. I like to use a lighter AP flour like White Lily to make the cake a little less dense instead of cake flour, primarily because cake flour is more expensive.
My go to yellow cake recipe uses all cake flour and I cover it with fondant all the time. No problems at all.
I think it's not so much about the kind of flour, but the entirety of the recipe. Does it produce a light cake, or a sturdy cake? I have AP recipes that produce light cakes and CF recipes that produce dense, sturdy cakes. The flour is just one element of the whole.
My go to yellow cake recipe uses all cake flour and I cover it with fondant all the time. No problems at all.
I think it's not so much about the kind of flour, but the entirety of the recipe. Does it produce a light cake, or a sturdy cake? I have AP recipes that produce light cakes and CF recipes that produce dense, sturdy cakes. The flour is just one element of the whole.
I wish I had known this last year when I made my first cake covered in fondant. The cake was good, but I didn't want to have to use a pound cake.
I'm going to cover my cake in fondant just for fun, if there is such a thing as fun covering a cake in fondant!
BTW, my go to recipe is Sylvia Weinstock's original recipe (not her updated one) with an extra 1/4 cup of milk added.
Thank you everyone for your responses! When I researched I noticed that there was a lot of mentioning that cake flour cakes come out lighter (which is how I like my cakes) so I figure that the lightness makes it harder to hold fondant but I just wanted to know if anyone has any personal experience.
I will try it for myself and let you all know!!
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