- DJED will soon expand to multiple blockchain networks.
- Although oversold, ADA offers a good buying opportunity on the daily chart.
Launched on the Cardano [ADA] mainnet on January 31, the network’s native over-collateralized stablecoin Jed [DJED] is set to expand to multiple blockchain networks.
How much are 1,10,100 ADAs worth today?
In a blog post published by Coti on May 11, the developers behind DJED said while the stablecoin “will remain unchanged when deployed on other blockchains,” it will exist as a wrapped token on these networks.
The developers added that a centralized bridging solution is needed to provide a secure platform and decided to partner with Chainport.
According to Coti:
“DJED will likely be integrated into Binance Smart Chain and Ethereum first, with other blockchains to be added at a later date.”
DJED announced its multichain expansion plans two weeks after the oversecured stablecoin launched on Milkomeda-C1, an EVM-compatible sidechain of the Cardano network.
DJED’s contribution to Cardano
Since its launch, DJED has accumulated a total of 36 million ADA tokens locked into its over-secured reserve. According to data from Defillamaat press time, the total locked value (TVL) of the coin was $15.08 million.
Despite the temporary decoupling of leading stablecoins USDC, USDT and DAI when Silicon Valley Bank (SVB) unexpectedly collapsed in March, DJED maintained its peg.
Source: DefiLlama
At the time of writing, Cardano’s TVL was $139.36 million. DJED ranked as the fourth highest contributor despite being released barely four months ago.
ADA’s price performance
At the time of writing, the coin was trading at $0.3603 in hands. While the rest of the market trades north, ADA’s Open Interest has been in decline since April 16.
According to data from Mint glassthe alt’s outstanding interest has since fallen 33%.
When an asset’s outstanding interest falls, the market for the asset becomes more illiquid. It will also be marked by a decrease in the number of available buyers and sellers. It is often followed by a decline in the value of such an asset.
Source: Coinglass
Read Cardanos [ADA] Price Forecast 2023-24
Reviewed on a daily chart, ADA appeared oversold at the time of writing. However, the price rested on the lower band of its Bollinger Band indicator.
This meant that a price recovery was likely while the coin was trading below its average trading range and oversold. The bullish divergence that has developed between the ADA’s Chaikin Money Flow (CMF) and the borrowed price basis for this position.
Source: ADA/USDT on TradingView