Swap Increase on May 11 + 12

Q98. On May 11th and 12th we saw a spike in number of swaps and volume across the DEXs. Breakdown what happened? What were users swapping from and to? Were users swapping from ALGO to stables? Was the average swap size bigger than normal? Is this tied to the price of ALGO? Help us understand what took place and why the volume and number swaps increased!

Introduction:

We know that since May 9th, 2022 the crypto market experienced harsh times. The impacts of these market downturn on Algorand ecosystem is disclosed in the swaps of May 11 and 12.

In this bounty, the swap analysis of Algorand Blockhcain is investigated based on these metrics:

Number of swaps
Most used tokens for swap from and swap to
Destination of swapped ALGO
Average volume per swap and price analysis of ALGO
The application of swap programs.

Methodology

The major table that used for the methodology of this bounty is flipside_prod_db.algorand.swaps.

After that, the price of ALGO is estimated by the use of flipside_prod_db.algorand.prices_swap where ASSET_NAME='ALGO'

Outcomes

As shown in this chart, the number of swaps and unique swappers spiked on May 11 and 12 in comparison with other days.

The most used tokens (assets) for buy (swap to) and sell (swap from) are shown in these charts. As shown ALGO, USDC and STBL are three of the most used assets.

The destination of swapped ALGO is shown in this donut. As shown in this chart more than 88% of ALGOs swapped for stable coins.

88% of ALGO token-->

       --&gt; 71% USDC

       --&gt; 15.1% STBL

       --&gt; 2.29% USDt**

The average swap size and price of ALGO over time discover that the enhancement on total swaps and average swap size happened because of the price drop of ALGO on that dates.

By sharp decrement of ALGO price, the public fear about Algorand is increased and people wants to change their assets to stable coins.

Additionally, the application of swap programs over time shown in this area.

As shown in this chart, the application of swap programs increased on May 11 and 12 sharply and Tinyman takes the lead as expected.