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Could this ratio be the key to figuring out where SUSHI is going?

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  • Several cryptocurrencies have been in the spotlight during the last several weeks
  • SUSHI believes that its long-term qualifications are not just intriguing, but also changing
  • There have been a number of significant advancements in SUSHI

Several altcoins have been in the spotlight of the market in recent weeks as a result of increased bullish pressure. Few adjustments have occurred as a result of the industry’s current corrections, indicating a mid-to-long-term scenario. One of these altcoins has been SUSHI. The asset recently reached a local high of $14 in a market with a lot of bearish pressure, before plunging again. Is this, then, just a short-term scenario? SUSHI’s long-term qualifications, on the other hand, appear to be not just intriguing but also evolving.

Is SUSHI being phased out of retail?

The volume of exchange outflow transactions has been quickly increasing recently, according to CryptoQuant CEO Ki-Young Ju. Despite this, there were no significant outflows of funds. Simply said, the SUSHI withdrawals from exchange wallets did not amount to a large sum of money.

As a result, it’s reasonable to conclude that retail traders are currently in command, with whales likely retreating. This is a fascinating discovery. Especially when retail traders, according to Young Ju, create more selling pressure due to their short-term holding strength.

SushiSwap isn’t going anywhere

While the above scenario implies a negative outcome for SUSHI, there have been a number of significant developments for the technique. SushiSwap, for example, appears to be incorporated into 11 different blockchains, according to data. Lending (Kashi), IDOs (Miso), and a future NFT marketplace are among these use-cases (Shoyu).

From a liquidity point of view, the total supply for the protocol has remained above $4 billion, after rebounding by almost 50% since the month of July. Its two main chains remain Ethereum and Polygon, and its total liquidity was only 30% off from its last peak, at press time.

Is a lower P/E a good thing?

The Price-to-Earnings ratio, or P/E ratio, is commonly used to determine the value of a stock or company. SUSHI had a P/E ratio of 38.5 at the time of writing, which was substantially lower than Coinbase 160. However, the P/E ratios of the NASDAQ 100 and the S& P 500 were 29.06 and 22.29, respectively (Note that the NASDAQ and S& P 500 are extremely valuable indexes, thus a lower P/E ratio is not a concern for them).

A low P/E ratio for SUSHI may appear discouraging at first, but on a wider scale, it could be a silver lining. From a revenue standpoint, the P/E ratio implies that there is still room for the protocol to develop. A value stock has a lower P/E ratio. SUSHI will continue to support annualized volumes through its platform because its capability is derived from its DEX.

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