The decentralized finance (DeFi) space has not been left out of the relief rally that has been rocking the crypto market. While other top coins are doing well, the DeFi tokens seem to have taken this one step further as they make a splash across the charts. With Ethereum leading the charge, these DeFi tokens have seen more gains than any other group of cryptocurrencies in the space.
DeFi Tokens Surge
In the wake of the recovery, the winners of this round have emerged. Most of these tokens have followed the lead of Bitcoin, but with Ethereum registering more gains than the pioneer cryptocurrency, it has led to more gains on the part of decentralized finance (DeFi) tokens. Ethereum being a DeFi platform, has naturally been one of the top gainers over this time. With 7% in the last 24 hours and 27.98% in the last week, it has broken above $1,450.
Related Reading | Fundraising In A Bear Market: How This Web3 Startup Got $5 Million
Others who have made strides in the space have been Polygon (MATIC). The DeFi token had actually begun to take off with the announcement that it was chosen for the prestigious Disney program that will see it build a Web3 platform for the entertainment giant. Since then, MATIC has rallied 63.20% in the last one week and is up to 14.89% in the last 24 hours alone to be trading at $0.88 at the time of this writing.
Others include Avalanche (AVAX), Polkadot (DOT), and Binance coin (BNB), all of which have seen double-digit gains over the last one week. AVAX trends higher than Ethereum on gains with 28.81% in 7 days and 7.95% in the last day. DOT and BNB bot came out 10.80% and 13.69% over the last week, respectively, and 3.02% and 3.45% over the last day.
ETH price close to $1,500 | Source: ETHUSD on TradingView.com
TVL Is On The Rise
The total value locked (TVL) across all decentralized finance (DeFi) protocols had taken a big hit with the bear market trend. The TVL, which had peaked above $250 billion, had lost more than 60% of its total value to land at the $70 billion level in the last couple of months.
However, with the recovery of the decentralized finance (DeFi) tokens, the TVL has begun to look up once more. Although it is still nowhere close to its ATH, it has risen about 10% in the last week and is now sitting at $83.58 billion at the time of this writing.
Related Reading | Shiba Inu Reclaims Its Spot As The Largest Token Holding Among Ethereum Whales
Ethereum retains the majority of this TVL, with a total of 52.95 billion locked on the network. All of this is locked ahead of the Merge, and with Ethereum developers announcing that the Merge is likely to happen around September 19th, there is a lot of anticipation.
One thing to note, though, is all of the ETH locked on the network becomes available for stalkers to sell after the Merge. So it is expected that there will be a decline in price as investors getting their tokens back rush to sell for some profit.
Featured image from Currency.com, chart from TradingView.com
Follow Best Owie on Twitter for market insights, updates, and the occasional funny tweet…