Last Updated: 24 March 2023
Cardano (ADA) is poised for a bullish run as the cryptocurrency’s decentralized finance (DeFi) hub continues to gain strength. While many blockchain protocols rely on specific fundamentals within their ecosystems to drive their price growth, Cardano is leveraging the uptick in its DeFi activities to maintain a positive outlook.
Surge in Total Value Locked
Earlier this week, Cardano’s Total Value Locked (TVL) grew by over 150% as its DeFi activities resurged. Recent data from DeFiLlama reveals that over 378 million ADA is now locked in smart contracts resident on the protocol. With demand for DeFi products on the rise, this presents a natural avenue for the token’s price to increase based on the laws of supply and demand.
Current Price Trend
Cardano is currently trading at $0.3632, with a discount of 2.20% but a week-to-date growth of 5.25%. This growth trend is likely to continue given the ongoing developments in the protocol and the increasing demand for DeFi products.
Decentralization and Protocol Development
Cardano has been a key proponent of decentralization in blockchain protocols and is working to develop its protocol to adhere to Web 3.0-backed governance tenets. The liquid staking offering by Cardano, which is made possible by its advanced distributed design, is seen as a way for the industry to bypass regulatory sanctions by the SEC targeting firms providing staking services.
Long-Term Growth Potential
As Cardano continues to undergo significant developments, its DeFi growth is expected to increase, ultimately driving long-term growth in its native token. With a focus on decentralization and governance, Cardano is well-positioned to leverage the ongoing shift towards decentralized finance in the cryptocurrency ecosystem.
In summary, Cardano’s DeFi strength is set to boost its price growth, driven by the increasing demand for yield-bearing products in decentralized applications. With ongoing developments in the protocol, Cardano is well-positioned to leverage its strengths and drive long-term growth.
Investors looking to capitalize on Cardano’s potential for long-term growth may consider investing through trusted online trading platforms such as BitQS or Crypto Legacy. These platforms offer a range of tools and resources to help investors make informed investment decisions, including real-time market data and analysis, as well as the ability to trade Cardano and other cryptocurrencies with ease. With Cardano’s DeFi strength and ongoing protocol developments, now may be a good time for investors to consider adding this cryptocurrency to their portfolios.