#CardanoDebate Cardano Debate – Will the ADA treasury turn into a liquidity door or a trap for volatility?
🚨 Are they saving DeFi or sinking ADA?
Cardano (ADA) has dropped about 6% after a heated debate over a proposal to withdraw 100–140 million ADA from the project's treasury to support liquidity in stablecoins.
🔍 The supporting team, led by Cardano founder Charles Hoskinson, believes this move will revitalize decentralized finance projects, without direct harm to the price if executed wisely through OTC deals or tools like TWAP.
⚠️ But the opposing team warns: announcing an amount of this size could trigger panic and pressure the price downwards. They believe it is better to launch stablecoins backed by crypto assets without liquidating ADA from the treasury.
📉 In the market, ADA dropped from ~$0.688 to ~$0.625 and then rebounded to ~$0.641, but it is still under strong resistance at ~$0.645. The nearest support is in the range of ~$0.622–0.636.
The bottom line?
The decision could open a new door for Cardano's success in DeFi… or be a trap that shakes investor confidence. Is it a calculated risk or a reckless move? ⏳#CardanoDebate