Recent events surrounding a proposal from Cardano's founder and global geopolitical conflicts have significantly impacted the market and the price of the ADA token.
Proposal for Fund Reallocation
Cardano founder **Charles Hoskinson** suggested converting **$100 million worth of ADA** from the treasury into **stablecoins and Bitcoin**. This initiative aims to bolster Cardano’s DeFi ecosystem but has raised concerns regarding **trust**, **decentralization**, and **long-term strategy**.
ADA Price Analysis
Currently, ADA is trading at **$0.6349**, with weak momentum. On the **2-hour chart**, ADA is hovering just above the **$0.6200 support zone**, after dropping from highs near $0.72 earlier this week. The **200 EMA** at **$0.6867** acts as a significant resistance level, while the **$0.6500** zone now serves as immediate resistance.
ADA Price Prediction
If the **$0.6200** level breaks, ADA could drop towards the **$0.58–$0.60** range, especially if broader market volatility continues. Conversely, if ADA holds above **$0.6200** and breaks back above **$0.6500**, a short-term recovery towards **$0.6867** (200 EMA) becomes likely. The **bearish trend** remains dominant unless market-wide sentiment improves or the treasury proposal receives clear community support.
Recent proposals and global events have had a noticeable impact on investor sentiment and ADA's price. The future of the token may heavily depend on community response and overall market conditions.
