DeFi market cap drops 25 percent in one day
The DeFi markets slumped yesterday. DeFi assets are down 25 percent.
The decentralized finance ( DeFi ) bubble continues to shrink. Crypto-market data firm Santiment saw the market capitalization of DeFi assets drop 25 percent over the course of yesterday alone
In a blog post on Oct. 8, Bitcoin Circuit estimated that the daily DeFi token trading volume had decreased by 30 percent overall. The market leaders Sushi ( SUSHI ), Uniswap ( UNI ) and Yearn Finance ( YFI ) recorded weekly losses of 51 percent, 38 percent and 31 percent respectively, making them the biggest losers.
„The crypto market has been mostly in the red this week and most DeFi blue chips have posted double-digit losses in the past 7 days.“
Santiment noted that while crypto Twitter had emphatically declared the death of the entire DeFi experiment, there was „whale accumulation“ in several DeFi assets, including Synthetix (SNX).
Santiment also stated that the combined value of DeFi assets fell to an all-time low when they last moved on the MVRV blockchain. This points to an „undervaluation“ at current levels.
Recently launched DeFi indices fell to record lows in the past week. Binance Futures‘ DeFi composite index fell 20 percent yesterday.
The index has fallen 63 percent since its first day of trading in late August
TokenSet’s DeFi Pulse Index ( DPI ) also fell 20 percent yesterday, hitting a record low of $ 71. That’s a decrease of nearly 50 percent since it was launched four weeks ago.