#CardanoDebate

Will major investors abandon $ADA due to the founder's proposals?

Cardano (ADA) has experienced fluctuations recently, amid mixed signals from major investors.

While previous reports indicated an increase in whale holdings of the currency by about 120 million ADA within 48 hours, analyst "Ali Martinez" revealed that they later disposed of more than 270 million ADA in a week, equivalent to about 170 million dollars.

This contradictory behavior contributed to increased selling pressure on the currency.

The price of ADA fell from 0.71 to less than 0.62 dollars, before relatively recovering to 0.636 dollars.

Warnings have increased about the possibility of a continued decline to the level of 0.5 dollars if the head and shoulders pattern is not broken.

Although geopolitical tensions represent a clear external factor in the market decline, some analysts pointed to an additional internal influence, represented in the recent proposal by Cardano's founder "Charles Hoskinson," who called for swapping 100 million dollars of ADA for Bitcoin and stablecoins to enhance decentralized finance on the Cardano network.

Despite the criticisms this proposal has sparked, "Hoskinson" quickly denied its negative impact, affirming that there is strong institutional demand for ADA outside of trading platforms sufficient to absorb any potential selling pressure.

He considered that the development of the DeFi ecosystem on Cardano will compensate for any temporary withdrawals from the treasury.