Sat, September 07, 2024 at 00:05

• 

  Joy

  • Hey Annie!

  • Did you hear about the latest report from DappRadar?

  • It's got some pretty interesting insights about the DeFi and NFT markets from August 2024.📉

  • 
• Annie

  • Oh, really?

  • What happened?😊

  
• 

  Joy

  • Well, the total value locked (TVL) in decentralized finance (DeFi) dropped by 14% last month.

  • It went down to $144 billion.

  • That's quite a dip!😮

  • 
• Annie

  • Wow, that's significant.

  • Why did it drop so much?🤔

  
• ADward

  • Hold on! Behold, an advertisement awaits. Legend has it that clicking on this ad will make the AI server even smarter... 😅

  
• 

  Joy

  • DappRadar says it's mainly due to the volatility of tokens, especially Ethereum (ETH), which saw a 22% drop since the start of August.📉

• Annie

  • I see.

  • What about NFTs?

  • How did they perform?🖼️

  
• 

  Joy

  • NFT trading volume also took a hit, dropping by 16% to a yearly low of $471 million.

  • But interestingly, the number of NFTs being traded actually increased by 17%!🤯

• Annie

  • That's a bit confusing.

  • More NFTs traded but lower trading volume?🤔

  
• 

  Joy

  • Yeah, it means that while more NFTs are being traded, their average prices have fallen significantly.

  • They're now five times lower than they were in March 2024, when the market peaked.📉

• Annie

  • Wow, that's a huge drop in prices.

  • What about the DeFi sector overall?

  • Is it still attracting investment?💸

  
• 

  Joy

  • Absolutely!

  • Despite the drop in TVL, the DeFi sector remains a top area for investment.

  • It accounted for 25% of total funding this month, raising $196 million.💰

• Annie

  • That's good to hear.

  • What about the DApp industry?

  • Any updates there?📱

  
• 

  Joy

  • The DApp industry is actually doing great!

  • The average daily Unique Active Wallets (dUAW) reached 17 million, marking a new record high and reflecting a 9% increase from the previous month.🚀

  • 
• Annie

  • That's impressive!

  • So, despite the downturn in DeFi and NFT trading volume, the DApp industry is thriving?🤩

  
• 

  Joy

  • Exactly!

  • It's a mixed bag, really.

  • Some areas are struggling while others are booming.

  • The spike in the number of NFTs traded can be linked to popular blockchain games like Gods Unchained and Guild of Guardians.🎮

• Annie

  • Interesting.

  • So, how should we interpret this news?

  • Is it good or bad for the market overall?📊

  
• 

  Joy

  • Honestly, it's more of a bad news scenario.

  • The significant drops in TVL and NFT trading volume indicate a bearish trend.

  • The market is quite volatile right now, and it might not be the best time to make high-risk investments.😕

  • 
• Annie

  • Got it.

  • Thanks for breaking it down for me, Joy.

  • I'll be cautious with my investments.🙏

  
• 

  Joy

  • No problem, Annie!

  • Always happy to help.

  • Just make sure to do your due diligence before making any investment decisions.😉

  • To sum up, this article is considered a 😱Bearish for investors!!