Cardano's Constitution Ratified, Is $1 Within Reach?

• Cardano’s newly ratified constitution empowers ADA holders and strengthens governance.
• Rising TVL and increased on-chain activity indicate growing network health and user engagement.

Cardano (ADA)  absorb fresh momentum following the ratification of its constitution, a move that marked a major shift in its governance model. Holding key support levels, the cryptocurrency is sparking bullish sentiment among analysts, who believe a significant rally may be on the horizon.

Cardano CEO Charles Hoskinson described this shift as turning Cardano into “a living government.” The Cardano Foundation reported that 85% of the community approved the constitution, underscoring strong confidence in the project’s future direction.

On February 19th, Cardano’s constitution was officially ratified, a landmark decision for its decentralized governance framework. This step gives ADA holders increased decision-making power, enhancing network transparency and community involvement. 

Cardano founder Charles Hoskinson in a video described this transformation as evolving Cardano into “a living government.” The overwhelming 85% approval from the community, as reported by the Cardano Foundation, reflects strong confidence in this governance shift.

Alongside governance upgrades, Cardano’s DeFi ecosystem is expanding rapidly. According to DefiLlama, ADA’s Total Value Locked (TVL) has surged by 22.4% in the past week, climbing from $313.6 million to $383.7 million. This rise is largely driven by protocols like Splash Protocol, lenFi, and Indigo, which have sparked renewed investor interest.

Technical Indicators Point to Bullish Momentum

From a technical perspective, ADA’s price action presents encouraging signals. According to FXStreet, the cryptocurrency has found strong support around the 61.8% Fibonacci retracement level at $0.67 and has since rebounded. This level has historically acted as a crucial inflection point for price movements.

Further supporting the bullish outlook, Coinglass data shows that the long-to-short ratio has reached its highest level in over a month, reflecting increased confidence among traders. The OI-Weighted Funding Rate has also turned positive, suggesting that market participants are betting on further upside.

Renowned analyst Ali Martinez highlighted the importance of the $0.67-$0.80 support range. He suggests that a breakout above $0.90 could pave the way for a rally towards $1.35.

However, traders should remain cautious. While current indicators suggest a bullish trajectory, the cryptocurrency market remains highly volatile. External factors, macroeconomic conditions, and unforeseen events could influence ADA’s price direction.

For investors, keeping a close eye on upcoming technical developments and governance milestones will be key in assessing Cardano’s long-term growth potential.

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