ADA Shows Strong Recovery as Exchange Outflows Reach $932M

Cardano (ADA) has shown strong recovery in recent weeks, with bulls successfully reclaiming the $0.75 level as support.

Cardano (ADA) has shown signs of recovery in recent weeks, as bulls managed to defend the $0.75 level and keep the price afloat. This price action comes as exchange outflows for the token reached $932 million in 2025, a pattern that might be familiar to those who followed Cardano’s 2021 exploits. Back then, massive outflows from exchanges preceded the token’s historic run to $3.10.

On technical charts, Cardano’s structure seems to have turned bullish on both the daily and 4-hour timeframes. A recent breach of the $0.756 level was a key technical development, as this price point marked a swing high from mid-March. The On-Balance Volume (OBV) indicator has also been trending higher, suggesting substantial demand for the token in recent weeks. Additionally, the Relative Strength Index (RSI) retested the neutral 50 level as support and appears to be climbing higher.

Chart: TradingView

On the 4-hour chart, Cardano broke through a descending trendline resistance. This move, combined with the OBV climb and RSI bounce above neutral 50, signals that momentum has turned positive.

This outflow coincides with the persistent interest in Cardano despite the token trading 75% below its all-time high. As such, market participants will be keeping an eye on these exchange movements, which could be signaling another bullish cycle for the token.

For the current uptrend to continue, bulls need to defend the $0.68-$0.74 support range. If this level holds, the next target becomes the resistance zone at $0.84. A successful break above this point could propel ADA toward the psychologically important $1 mark. From there, further momentum could push prices toward $1.32, a key target identified by market analysts.

However, if the current support zone fails, ADA price could retreat to the $0.55 level.

Pending Audit Report Could Sway Market

One factor that could affect ADA’s short-term price trajectory is an ongoing audit into fraud allegations against Charles Hoskinson, the founder of Cardano. The claims, which emerged in late July, suggest that Hoskinson’s actions, such as improper fund transfers through ledger manipulation, defrauded investors.

Following these allegations, Input Output Global, the company developing Cardano, commissioned an independent audit firm and legal team to investigate the matter. The findings of this report are expected to influence the market participants’ outlook on the project.

According to Hoskinson, once the audit report is released, he will be stepping back from public appearances and delegate social media interactions to a media team. This move aims to create a boundary between his personal life and the project’s operations.

Depending on the results, the audit might either strengthen or weaken investor confidence in the project, potentially acting as a catalyst for price movement in either direction.