Danogo, a decentralized exchange built on the Cardano blockchain, experienced an astonishing 921% surge in Total Locked Value (TVL) in the past week. However, despite this impressive growth, Danogo did not make it into the top ten projects with the highest TVL on Cardano. The leading projects in terms of TVL were Minswap, Indigo, and Liqwid.
Danogo, the leading Cardano-based decentralized exchange (DEX), witnessed a remarkable increase in its TVL in the last seven days. In a recent announcement, Danogo revealed that its TVL skyrocketed by almost tenfold, reaching ADA 4.1 million ($2 million). This surge in TVL surpassed the second-ranked project by a significant margin.
Following Danogo in the TVL rankings was Fluid NFT Collateral Lending, which also experienced a substantial 98.21% increase in TVL in the same time period. Lenfi, Optim Finance, and Levvy secured the third, fourth, and fifth positions, respectively, with TVL variations of 27.15%, 14.21%, and 12.22%.
Despite the impressive growth in TVL, Danogo did not manage to secure a spot among the top Cardano-based protocols by TVL. According to our research, the total TVL on Cardano at the time of this report was $251.33 million. Minswap, Indigo, and Liqwid were the leading contributors to this TVL, with $68.08 million, $58.61 million, and $31.28 million, respectively.
Based on DefiLlama data, Danogo’s TVL of $2 million placed it in the 14th position. Additionally, the DEX experienced a slight decrease in its percentage gains in the past few hours, resulting in a 24-hour gain of 10.42% and a seven-day gain of 561%. Over the past 30 days, the exchange has recorded a monthly growth rate of 365%.
In recent months, Danogo has played a crucial role in facilitating the trading and listing of Optim-issued bond tokens without the need for intermediaries. The recent increase in user activity on the platform is believed to be driven by the growing interest in bond tokens and the overall increase in Cardano’s DEX trading volume, which exceeded 23 million ADA.
Despite these activities, Cardano’s TVL has experienced a significant drop from $430 million to $250 million, according to Artemis data. Analysts interpret this drop as a lack of interest in dApps built on the Cardano network. Furthermore, the NFT space on Cardano has also seen a decline, with popular NFT collections witnessing a drop in floor price and overall trading volume. This could potentially impact investor sentiment and negatively affect ADA’s price.
At the time of writing, ADA was trading at $0.44, experiencing a 3% decline in the past seven days and a 37% decline in the past 90 days. The 24-hour trading volume has also been affected, decreasing by 14% to $260 million.
ADA has been trending lower in recent weeks, with multiple lower lows and lower highs. Key indicators such as the Relative Strength Index (RSI) and Chaikin Money Flow (CMF) suggest a decline in bullish momentum. Additionally, the ADA velocity, which measures the frequency of token trading, has significantly decreased. The MVRV ratio, which indicates profitability for token holders, has also fallen, indicating an uncertain outlook for ADA’s future prospects.