Recent developments in the foreign exchange market have caused a great deal of excitement among users. One of the consequences of this was that it caused some to increase their assets and some to lose. Now we want to look at what happened to swaps in Algorang.

We review all the results from a few days before and after May 11 and 12 so that we can better understand the process of change. First, we look at the price of Algo from 2022-05-07 to 2022-05-18 to be able to examine the upward or downward trend of the price and its relationship with other parts of the analysis. If we take a look at coinmarketcap, on May 12, Bitcoin reached its lowest price in this period. Since all coins are heavily influenced by Bitcoin, we have seen a drop in the price of Algo during this period.

In the following two charts, we see the number of swaps of the top 10 assets that have been swapped to / from them on a daily basis. In the same days that the price of Bitcoin and the pattern are falling, we see a very significant peak in the number of swaps, most of which are related to Algo. This can have two consequences. Some users have sold their assets for fear of losing more, and others have bought assets due to the drop in the price of the Algo compared to the previous days.

But in these two days, 2022-05-11 and 2022-05-12, a large amount of assets have been swaped to stablecoins. In these two days, approximately 13 million USDC, 3.44 million STBL and 859 thousand USDT of other assets have been swaped to these stablecoins, with TinyMan having the largest share in swaping these assets and AlgoFi and PactFi in second and third place, respectively are located.

The last chart also shows which assets have the largest swap volume to stablecoins (given the approximate Stablecoins value). the largest volume swap to stablecoins is related to Algo. This means that users are more likely to sell Algo than other assets.

What happened in Algrand during these two days seems to be due to the excitement of the rapid decline in the price of bitcoin in those days. In the two days that Bitcoin has reached its lowest price, users have been in a hurry to exchange their assets, and as market fluctuations have decreased, the number of swaps and asset transfers has decreased and resumed its normal course.