$ADA Cardano's ADA token recently dropped 6.01% to $0.6412 due to market volatility and a heated debate over a proposed $100 million treasury allocation to boost the DeFi ecosystem. The proposal involves deploying 140 million ADA to provide liquidity for stablecoins, but the community is divided.
*Key Points:*
- *Proposal Details*: The allocation aims to strengthen Cardano's DeFi sector and generate sustainable revenue for the treasury.
- *Community Concerns*: Some members worry about introducing 140 million ADA in sell pressure under current market conditions, potentially causing prices to drop.
- *Charles Hoskinson's Response*: The Cardano founder dismissed sell pressure concerns as a "false narrative," suggesting gradual conversion of ADA through over-the-counter or algorithmic execution strategies.
*Market Performance:*
- *Current Price*: $0.6246-$0.63
- *Market Cap*: $22.28 billion-$22.55 billion
- *24-hour Trading Volume*: $354 million-$454 million
*Technical Analysis:*
- *Support Level*: $0.622
- *Resistance Level*: $0.645
- *Trend*: Mild accumulation with higher lows, but limited follow-through ¹ ² ³.