ADA Drops 6.88% to 56-Day Low as Cardano Eyes 140M Token Treasury Move for DeFi

Cardano (ADA) experienced a significant price decline over the past 24 hours, falling 6.88% from a 24h open of $0.6541 to a current price of $0.6091 on Binance. This drop is primarily attributed to ongoing bearish sentiment in the broader cryptocurrency market, as reflected by increased sell pressure and ADA reaching a 56-day low. Recent news highlights founder Charles Hoskinson’s proposal to allocate 140 million ADA from the treasury to acquire Bitcoin and Cardano-native stablecoins, aiming to strengthen the DeFi ecosystem, but this has yet to offset prevailing negative momentum. Trading volume has also decreased sharply, indicating reduced market participation and uncertainty among traders. ADA’s market cap is estimated at approximately $21.5 billion, with the price consolidating near recent lows and technical indicators remaining bearish. Overall, Cardano is facing heightened volatility and persistent downward pressure as it searches for new support levels.