By George Ward
Amid the regulatory chaos in the crypto industry, the Cardano ecosystem appears unshaken as it continues to churn out impressive metrics and outperform other top chains. Recent on-chain data shows that the network’s total value locked (TVL) has been on the surge, with the ADA token eyeing a price breakout in the coming weeks.
Soaring Amid The Storm
The crypto markets were sent into panic mode on June 6 after the US Securities and Exchange Commission (SEC) took legal action against two of the largest prominent crypto trading platforms, Binance and Coinbase. This unprecedented move by the regulatory body led to classifying several crypto assets, like Cardano’s ADA, as unregistered securities.
The aftermath of the SEC’s action negatively impacted Cardano’s decentralized finance (DeFi) ecosystem. It suffered a significant loss of over $50 million and a prolonged period of uncertainty.
After enduring weeks of turbulence, Cardano has finally begun to recover. Against all odds, it has surpassed the performance of significant blockchain networks and accomplished remarkable milestones within the past few days.
Additionally, the Cardano DeFi space has shown resilience and has gradually gained some needed momentum. Interestingly, the number of active users on the network has surged to levels previously seen last February before the wave of aggressive regulatory enforcement.
In contrast to Cardano, other top chains like Avalanche, Ethereum, and Solana continue to suffer a prolonged decline. However, the Cardano network stands out as a show of resilience, defying the odds and displaying remarkable strength in its DeFi TVL.
More impressive is that Cardano’s TVL witnessed a staggering 17% spike, reaching about $157 million. Furthermore, the platform’s exceptional performance was further complemented by another impressive daily trading volume of $6.5 million, as reported by DeFiLlama.
ADA Follows The Trend
Data further show that this surge in Cardano’s DeFi TVL attained its all-time high of over 534.8 million ADA on June 25. This remarkable milestone solidifies Cardano’s position as one of the rapidly expanding networks in terms of its native token, overtaking established chains like Solana, Ethereum, and Polygon.
The unprecedented growth exhibited by Cardano showcases its unparalleled potential, making it one of the leading players in the blockchain industry.
Moreover, Cardano’s recent resurgence can be attributed to the impressive surge of ADA over the past week, fueled by a notable increase in interest from traditional finance (TradFi) entities in the crypto industry. Its impressive upward momentum has ignited a wave of optimism among investors.
As a result, the Cardano native token experienced a significant breakthrough, briefly overcoming the crucial $0.3 price resistance level and causing a substantial shift in market sentiment from the otherwise bearish to mainly bullish feelings. This fresh, positive outlook has injected a renewed sense of enthusiasm into the Cardano community and joyous anticipation about the future trajectory of the Cardano project.
Despite fear and uncertainty that have overwhelmed the crypto market in the aftermath of the SEC’s extensive crackdown on crypto platforms, Cardano’s DeFi ecosystem has displayed unwavering resilience and remarkable strength.
However, Cardano is still 30% below its June peak of $0.381, trading at $0.283 at the time of writing after losing 1.9% of its value in the last 24 hours. Nevertheless, investors expect ADA to move into the $0.4 and $0.5 range in the coming weeks.
If that happens, the token’s TVL would have risen to about $267 million.