UNI skyrocketed 15% over the weekend, reaching a peak of $7, driven by the recovery of the cryptocurrency market. There are signs that funds are beginning to shift towards DeFi, with the total locked value (TVL) of various DeFi chains reaching 53 billion, a 47% increase since mid-October. The total market capitalization has also risen from 42.8 billion to 77.1 billion.
Background:
Injective, a glimpse into the innovative ecosystem, possible airdrops, and development potential of five projects.
Table of Contents:
UNI surges 15% in two days, surpassing $7
DeFi TVL increases by 17 billion since October
Market capitalization rises by 80% since mid-October
With the “DeFi Summer” that started in 2020 now marking its third year, although innovative DeFi projects continue to emerge, the overall DeFi market has been experiencing continuous outflows of funds since the crypto market entered a bearish trend in 2022. In October this year, the TVL hit a new low since February 2021.
However, with the recent recovery of the cryptocurrency market, DeFi projects in the race are experiencing significant surges, indicating a potential return of funds. Over the past weekend, leading decentralized exchange UNI surged 15%, reaching a high of $7.18, the highest in nearly ten months.
Lido, the leader in the LSD track, has surged over 26% in the past seven days. Other projects such as INJ and Cake also experienced over 20% increases.
DeFi token price increases | Source: Coingecko
According to data from DefiLlama, the TVL of DeFi protocols on various chains was less than $36 billion in mid-October this year, compared to a peak of $178 billion in November 2021, representing a decrease of nearly 80%.
However, driven by Ethereum’s dominance, the TVL of DeFi on various chains has now reached $53 billion, a 47% increase since mid-October.
Currently, Ethereum accounts for the highest proportion of TVL in DeFi protocols at 52%, with a TVL of approximately $28 billion. The rankings for other chains are as follows: Tron, BSC, Arbitrum, and Solana.
Signs of funds returning to DeFi | Source: Defiliama
In terms of the total market capitalization of DeFi protocols, according to data from Coingecko, the market capitalization has increased from $42.8 billion to $77.1 billion in just 90 days, representing an 80.1% increase.
Rise in total market capitalization of DeFi protocols | Source: Coingecko
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Tags:
DeFi
MKR
TVL
UNI