DeFi token market cap approaches $100B for the primary time in nearly 22 months.
A number of property throughout the Ethereum ecosystem proceed to publish new year-to-date highs, pushing the mixed capitalization of DeFi tokens close to $100B for the primary time since Could 2022.
ETH modified fingers for $3,125 earlier immediately, marking the asset’s highest worth since April 2022, in accordance with CoinGecko. The newest worth features place Ether because the twenty fifth strongest-performing asset among the many high 100 cryptocurrencies by market cap.
ETH has now rallied 95% previously 4 months, with many analysts tipping that Ethereum is poised to turn into the second cryptocurrency that U.S. buyers can entry by way of a spot exchange-traded fund (ETF) following the launch of 10 spot Bitcoin ETFs in January.
Whereas Bitcoin ETF optimism drove large features for BTC over the previous yr — with Bitcoin additionally surging 92% since mid-October — Bitcoin has underperformed this previous week. BTC is presently buying and selling for $51,500 to sit down at a seven-day lack of 1.2%, with many buyers having turned their consideration to Ethereum and its broader ecosystem.
The meteoric momentum of Worldcoin, the controversial digital identification mission, can be displaying no signal of slowing down. WLD final modified fingers at an all-time of $8.74, marking a 266% soar in two weeks.
Ethereum scaling options outperform
Ethereum Layer 2s are among the many week’s top-performing property, with Mantle (MTN) posting a brand new all-time excessive above $0.90 on Sunday night time. Mantle has loved a sustained rally of 180% since October, coinciding with the community’s whole worth locked (TVL) surging from $90 to $722M over the identical interval, in accordance with L2beat.
Mantle’s current bullish efficiency was propelled by the spectacular success of its liquid staking token, mETH, by way of which all Ether deposited onto its community accrue staking rewards for holders. mETH has ballooned to a $1.6B market cap since launching in December, positioning it because the 56th-largest cryptocurrency by market cap.
Metis (METIS) is up 22% this previous week, with the token having quadrupled in simply the previous 10 weeks. The TVL of the Layer 2 has equally rocketed in current weeks, with the worth of property held on Metis leaping from $100M in mid-December to $861M immediately.
Gnosis (GNO), an Ethereum sidechain, has additionally loved meteoric features since October, rallying 273% to commerce for $348 — a 22-month excessive. The TVL of Gnosis Chain TVL spiked from $82M to $272.6M over the identical interval.
Compound (COMP) and Convex (CVX), two of the highest 15 DeFi dApps on Ethereum, had been additionally among the many week’s high performers. COMP is testing $73 — its highest stage since July, whereas CVX is buying and selling for $4.90 for the primary time in nearly 10 months.
DeFi market cap exams $100B
The current bullish market momentum has propelled DeFi property to their highest stage since Could 2022, with DeFi tokens commanding a mixed market cap of $97.5B. The TVL in DeFi protocols can be at a virtually 22-month excessive, presently sitting at $83.2B, excluding liquid staking tasks.
Nevertheless, Ether’s features coupled with the rise of liquid staking have contributed closely to the DeFi sector’s sturdy efficiency as of late.
StETH, Lido’s liquid staking token, accounts for 31.2% of DeFi’s market cap. Together with liquid staking tokens, DeFi TVl would sit at $131B — with stETH making up nearly 1 / 4 of the whole.
