ADA Jumps 15% as Hoskinson Orders Treasury Fraud Audit
Cardano’s native token ADA vaulted 15% to $0.92, its highest level in four months. The rise follows founder Charles Hoskinson’s announcement of a third-party audit into Input Output Global’s treasury to address allegations by NFT artist Masato Alexander of misappropriating 318 million ADA ($619m). Hoskinson confirmed legal proceedings and said a draft audit report is under review, with a full independent audit due mid-August and a live-streamed presentation planned.
On-chain data show Cardano’s total value locked (TVL) surpassed $412m, while stablecoin inflows rose 15% over the weekend, signalling strong community support. Technically, ADA trades above its upper Bollinger Band with an RSI of 84, suggesting overbought conditions and a possible short-term pullback to $0.85. Key resistance stands at $1.00 and $1.20, with analysts maintaining year-end targets of $1.50–$2.00. Traders should monitor audit developments and the $0.85 support level as ADA aims for new highs.
Bullish
ADA’s treasury audit announcement and strong on-chain metrics signal positive market sentiment, underpinning bullish momentum. In the short term, ADA’s RSI above 80 and price trading above the upper Bollinger Band suggest overbought conditions and a potential pullback to support around $0.85. However, the transparent audit process reduces uncertainty over treasury management, likely sustaining medium to long-term investor confidence. Combined with TVL growth and stablecoin inflows, these factors position ADA for further gains toward $1.00–$1.20 near term and $1.50–$2.00 by year-end, supporting a bullish market outlook.