Cardano Approves $70M IOE Grant, ADA Eyes Breakout
Cardano community has approved a historic 96 million ADA grant (≈$70 M) to Input Output Engineering (IOE) for a year-long core protocol upgrade roadmap. The proposal passed with 74% voter approval, marking the first direct treasury funding for Cardano’s core development. The milestone-based grant, managed by the Intersect governance body, will back enhancements in scalability, cross-chain interoperability, developer tools and performance through projects such as Ouroboros Leios, Hydra and Mithril. Disbursements will be automated via smart contracts and require monthly updates and quarterly budget reports.
On-chain developer activity has surged, even as ADA dipped below $0.62, reflecting strong builder confidence. In the market, ADA trades near $0.73, holding support around the 200-day EMA (≈$0.70) and testing the 50-day EMA at $0.72. Technical indicators show improving MACD momentum and tightening Bollinger Bands, suggesting a potential breakout above $0.74 with a target near $0.79. Failure to sustain above the 50-day EMA could trigger a pullback toward $0.68. Traders see this IOE grant as a bullish catalyst that may strengthen Cardano’s network and drive ADA’s price momentum.
Bullish
The approval of the 96 M ADA grant for IOE signals strong community support and will accelerate key network upgrades. Milestone-based funding with on-chain oversight reduces execution risk. The surge in developer activity despite price dips underscores builder confidence. Technically, ADA’s position above the 200-day EMA and its test of the 50-day EMA, coupled with improving MACD momentum and tightening Bollinger Bands, points to potential upward movement toward $0.79. These factors, combined with the catalytic effect of treasury-backed development, create a bullish outlook for ADA’s price in both the short and long term.