The Rise of DeFi and Crypto Markets
The cryptocurrency and decentralized finance (DeFi) sectors have been experiencing significant growth in recent weeks. According to data from Defi Llama, the total value locked (TVL) in DeFi has surged by approximately $47 billion in the last 30 days, reaching a 31-month high of $134.7 billion. This level was last seen in May 2022.
Furthermore, the daily trading volume in the DeFi space currently stands at $16 billion.
Key Players in DeFi
Leading DeFi and liquid staking protocol Lido has seen its TVL exceed $36 billion following a 50% surge in the past month. AAVE, a prominent lending protocol, has also reached a TVL of $20.6 billion, thanks to a 54% rally.
Additionally, EigenLayer, a top Ethereum-based restaking protocol, has witnessed a 64% increase in its TVL, reaching $17.1 billion. Ethereum’s DeFi TVL is currently at $72.9 billion, with TRON following at $13.6 billion, according to DeFi Llama.
Political Influence on DeFi
Analysts at Matrixport suggested that President-elect Donald Trump’s favorable stance towards cryptocurrencies could further boost the DeFi sector in the United States. Trump’s inauguration is set for January 20, 2025.
Overall Crypto Market Performance
Aside from DeFi, both Bitcoin and altcoins have shown strong bullish momentum since the U.S. elections in November. CoinGecko data reveals that the global crypto market cap has surged by $1.33 trillion in the last month, reaching an all-time high of $3.73 trillion. Bitcoin currently dominates the market with a 51.3% share.
The daily trading volume in the crypto market is currently around $418 billion, indicating high levels of activity and interest in the space.