Cardano’s decentralized finance (DeFi) ecosystem has achieved a significant milestone, experiencing a remarkable 50% surge in total value locked (TVL) over the past month. This has propelled Cardano to rank ninth among blockchain networks in terms of DeFi TVL.
The native cryptocurrency of Cardano, ADA, has also witnessed substantial growth, with a 47% increase in value over the last month, reaching $0.57. This surge can be attributed to the growing demand for ADA and the profitability of transactions, as indicated by the MVRV ratio of 1.76%.
According to data from DefiLlama, the TVL in Cardano’s DeFi protocols has reached an all-time high, reaching $376.54 million. This surge in TVL is accompanied by a rapid growth in user activity on the Cardano network. On December 9th, a record high of 77,000 active addresses was recorded, highlighting the increasing utilization of the Cardano ecosystem.
Furthermore, Cardano’s daily transactions reached a peak of 113,000 on the same day last year, demonstrating the strong and growing demand for the network’s capabilities. The expansion of the ecosystem is further evidenced by the significant increase in trade volumes on Cardano’s decentralized exchanges (DEXs), which reached a record high of $18 million on December 9th.
The profitability of transactions has played a significant role in ADA’s meteoric rise. With a 47% increase in value, ADA has outperformed the top ten cryptocurrencies, showing its remarkable performance. The positive MVRV ratio of 1.76% indicates that most investors hold ADA at a profit, with a guaranteed profit of 2% if they sell at the fair market value.
Whale activity on the Cardano blockchain has also seen a significant increase, with transactions worth at least $100,000. Notably, transactions for ADA have surpassed $1.5 billion in the past day, further demonstrating the trust and investment in the Cardano network.
Looking ahead, Cardano’s ADA is expected to continue its upward trajectory, with a market valuation of $23.1 billion and a price of $0.6553. After breaking through the resistance trendline, ADA is projected to target important levels, potentially reaching $0.737 and $0.87, indicating a potential 35% increase.
