Ethereum DeFi Total Value Locked Reaches $80 Billion for First Time in Two Years
Ethereum's decentralized finance (DeFi) total value locked (TVL) has surpassed $80 billion for the first time in two years, driven by a market uptrend that pushed ETH price above $3,500 in November. This rally followed President Donald Trump’s election victory, which increased market activity.
In the Ethereum DeFi landscape, Lido leads with $32.87 billion in TVL, followed by Aave at $26.7 billion and EigenLayer at $14.2 billion. Together, these platforms represent a significant portion of Ethereum’s DeFi ecosystem.
Trump's election has sparked optimism for a bull market in DeFi, potentially enhancing demand for Ethereum (ETH). His campaign suggests a shift towards easing regulatory constraints on crypto, creating a more favorable environment for DeFi in the US, which has contributed to growth in ETH and major DeFi tokens since early November.
Ethereum Regains USDT Dominance
Ethereum has regained its status as the primary host for Tether's USDT stablecoin, overtaking Tron after a 10% increase in USDT supply on Ethereum last week. Currently, Ethereum holds over $60.3 billion of the USDT supply compared to Tron's $58.1 billion. Tron's USDT supply decreased by 1.5%, while Ethereum's surged by 9.3%. This shift marks Ethereum's return to the top position for USDT dominance since August 2022.
Ethereum reclaimed this position on November 21 and further extended its lead on November 23 when Tether minted $2 billion in USDT on Ethereum against $1 billion on Tron.
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Courtesy: DeFiLlama
The increase in USDT supply indicates bullish sentiment, as stablecoins are essential for liquidity and capital flow within the crypto ecosystem.
Ethereum is becoming the main blockchain for financial institutions tokenizing US dollar-backed assets, while Tron remains popular for stablecoin savings due to low fees and rapid transaction speeds, especially in high-inflation regions.
ETH Price Action Ahead
The Ethereum (ETH) price has rebounded from around $3,000 recently, currently trading up 4.17% at $3,457 with a market cap of $416 billion. Additionally, CME futures open interest for ETH has reached a new all-time high, reflecting continued investor optimism regarding ETH's future prospects.