- Cardano’s daily decentralized exchange volume (DEX), has exceeded 23 millions ADA.
- The ADA price and velocity continue to fall.
Cardano [ADA] Holders have had to deal with a decline in prices over the last week. In the DeFi industry, however, interest has increased.
State of DeFi
Cardano DEX’s (Decentralized Exchange), daily volume surpassed 23, million ADA.
Cardano TVLs (total locked value) have plummeted despite the huge surge in DEX volumes.
Artemis data showed that Cardano’s TVL fell from $430 to $230 Million. The decline in TVL may be due to the low interest in Cardano dApps.
NFT transactions on the Cardano network could also negatively impact the currency. The Cardano network has seen the popularity of NFTs plummet in recent months, both the overall trading volume and the price floor.
Cardano’s ecosystem may suffer a severe impact and could also have a negative effect on ADA price.
ADA traded at $0.4489 as of the time of publication. In the last few weeks, ADA’s price has shown multiple lower lows as well as lower highs. This is indicative of a downward trend.
The price of ADA fluctuated between $0.512 and $0.421 after that. During this time, the $0.512 price level was repeatedly tested.
Price reversal is possible if the price of ADA retests again and falls below the level of $0.512.
At the time this article was written, however, there were no indicators that supported ADA’s bullish case.
The RSI for ADA has declined significantly, indicating a declining bullish momentum. Moreover the CMF for Cardano has also fallen materially, indicating a significant decrease in the flow of money into ADA.
How does ADA do?
A declining velocity is another factor to be concerned about. Falling velocity means that the amount of ADA traded has decreased over the past few days.
You can read more about it here Cardano (ADA) Price Prediction 2024-25
Moreover, MVRV for ADA has fallen dramatically, indicating that profitability at most addresses have declined.
The long/short ratio has fallen as well, indicating a decrease in the number of addresses with ADA.
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Source: ambcrypto.com