- SushiSwap announced updates and new roadmap.
- Despite declining numbers, holders remained supportive of the SUSHI token.
On 17 January, SushiSwap [SUSHI] announced its plans for the future. These plans included improving the ecosystem by supporting independent NFT collections and launching their aggregator routers. The developments could help the current state of the exchange and boost the declining number of users in its protocol.
Read SushiSwap’s [SUSHI] Price Prediction 2023-2024
Notably, SushiSwap will launch DEX aggregators in Q1 of 2023. These aggregators aim to improve user experience by providing a single interface for users to access multiple DEXs and find the best prices for their trades. This can greatly benefit the exchange, as it aims to increase its market share in the DEX space.
SushiSwap is also trying to strengthen its position in the NFT market. In the upcoming months, SushiSwap would allocate funds and resources to support its NFT ecosystem. According to the statement, SushiSwap will also launch a new NFT marketplace in the next few months. This move aims to capitalize on the growing popularity of NFTs and attract more users to the SushiSwap ecosystem.
SushiSwap in trouble?
However, at the time of writing, the situation at SushiSwap appeared dire. According to Dune Analytics, the number of users on SushiSwap declined materially over the past few months. The number of monthly users on the network declined from 30,124 three months ago to 12,184 at press time.
Coupled with that, the number of transactions on the protocol declined as well. These developments affected SushiSwap’s ability to generate revenue, too.
Based on data provided by Messari, the revenue generated by SushiSwap declined by 30.19% and stood at $2.04 million at press time.
Source: Dune Analytics
Despite these factors, holders continued to show support for the SUSHI token, as the number of token holders grew materially in spite of the market volatility.
The growing MVRV ratio suggested that these holders were profitable. However, the growing number of transactions in profit suggested that a majority of these holders were trying to exit their positions. The declining long/short difference implied that many of these sellers would be short-term holders of the token.
Realistic or not, here’s SUSHI’s market cap in BTC’s terms
Source: Santiment
It remains to be seen if the upcoming developments and updates can appease users and bring back the platform to its former glory.
At press time, the price of SUSHI was $1.26 after increasing by 2.71% in the last 24 hours, as per CoinMarketCap.
