While Cardano (ADA) price movement has been underwhelming, the Total Value Locked (TVL) on its native DeFi ecosystem has nearly tripled in 2023. A comprehensive on-chain analysis dissects how the TVL growth could impact future ADA price action.

Cardano (ADA) price made a promising start to 2023, peaking at $0.45 in mid-April. But, from Q2 onwards, the Cardano price has been plagued by intense FUD from regulatory squabbles. 

However, on-chain data reveals that it’s not all doom and gloom for Cardano. 

Despite Cardano Price Doom, DeFi TVL has Continued to Boom

With prices currently sitting at $0.29, ADA has now declined 36% from its 2023 peak recorded on April 17. Meanwhile, the Cardano DeFi ecosystem has experienced a much different fate. 

According to DeFillama, despite recent regulatory squabbles, Cardano TVL has continued to boom in H2 2023. As of August 15, Cardano TVL currently stands at $177.83 million, representing 250% growth in 2023. 

How Does Cardano (ADA) TVL Impact Price? | TVL data, Aug 2023. Source: DeFillama

TVL stands for “Total Value Locked.” It essentially refers to the total amount of assets that are currently being held and utilized within a decentralized finance (DeFi) ecosystem. 

TVL is a prime indicator of the overall economic activity and the underlying value of projects built on top of the Cardano blockchain network.

While it may not directly impact the native token’s short-term price action, an uptrend in TVL indicates fundamental growth in adoption. 

Go to Source to See Full Article
Author: Ibrahim Ajibade

Did you like this?
Tip BTC Newswire with Cryptocurrency

Donate Bitcoin to BTC Newswire

Scan to Donate Bitcoin to BTC Newswire
Scan the QR code or copy the address below into your wallet to send some bitcoin:
Donate via Installed Wallet
[X] Click Here to Hide Donation Details

Donate Bitcoin Cash to BTC Newswire

Scan to Donate Bitcoin Cash to BTC Newswire
Scan the QR code or copy the address below into your wallet to send bitcoin:
Donate via Installed Wallet
[X] Click Here to Hide Donation Details

Donate Ethereum to BTC Newswire

Scan to Donate Ethereum to BTC Newswire
Scan the QR code or copy the address below into your wallet to send some Ether:
Donate via Installed Wallet
[X] Click Here to Hide Donation Details

Donate Litecoin to BTC Newswire

Scan to Donate Litecoin to BTC Newswire
Scan the QR code or copy the address below into your wallet to send some Litecoin:
Donate via Installed Wallet
[X] Click Here to Hide Donation Details

Donate Monero to BTC Newswire

Scan to Donate Monero to BTC Newswire
Scan the QR code or copy the address below into your wallet to send some Monero:
Donate via Installed Wallet
[X] Click Here to Hide Donation Details

Donate ZCash to BTC Newswire

Scan to Donate ZCash to BTC Newswire
Scan the QR code or copy the address below into your wallet to send some ZCash:
[X] Click Here to Hide Donation Details

BeInCrypto

BeInCrypto

BTC NewswireAuthor posts

BTC Newswire Crypto News at your Fingertips

Related Posts ...

Comments are disabled.