The interest and demand for products in the area of Decentralized Finance (DeFi) is getting bigger and bigger. As a result of the Ethereum rate could experience a true Renaissance, and in the past 4 weeks, Bitcoin (BTC) to outperform. In this article we want to take a look at the Ethereum course, as well as on the Status of DeFi.
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Ethereum rates on the upswing: DeFi price drives ETH
Since now more than 4 years of Ethereum (ETH) is located on the space 2 of all crypto currencies by market capitalisation. The project has already made for some exciting moments in the history of the crypto world. Thanks to the Blockchain and the possibility of using Smart Contracts, launched in 2017, the big Hype around ICOs.
After we all know the end to this story (or maybe experience) were allowed, was Ethereum in the last 2 years in a Phase of self-discovery: The Hype of ICOs was completed, and critics accused the project of massive problems in the scalability. Also, the delays with respect to Ethereum 2.0 resulted in a lack of understanding within the crypto scene.
Anyhow, since the topic of DeFi plays an increasingly important role, the experience of the Ethereum course a true Renaissance. So the price of 1 ETH increased in comparison to the beginning of the year to 86%.
In the last 30 days ETH managed with a rate increase of 20% Bitcoin outzuperformen.
The reasons for this, many see in the area of Decentralized Finance. We take a look at the current Status.
Total Value Locked reached new all-time high
Our point of contact for data related to Decentralized Finance website DeFi Pulse is. We look at what data you are showing us currently and whether there is indeed a growing interest in DeFi, the basis for Ethereum rate increase.
The following graphic shows the Total Value Locked (TVL) in US dollars.
We see here very clearly that a new all-time high was reached with a TVL value of 1.54 billion USD. Here, the value rose alone in the last 90 days of 623 million USD to the current value.
In Parallel, we can also observe in the 90-day point of view for the curly ETH a significant increase in:
We can conclude, therefore, that the demand for DeFi is getting bigger and the Ethereum course benefits. Investors are waiting with security as well looking forward to the upcoming Upgrade Ethereum 2.0. Because with the transition to a PoS-algorithm two basic problems in the creation of dApps can be solved on Ethereum: the slow block time and Gas fees.
For the Ethereum course it looks so bullish. A continuing demand in the area Defined, as well as a error-free conversion to Ethereum 2.0 could drive the price of ETH even more.
62% of private CFD accounts lose money. No EU investor protection.
What is your forecast for the Ethereum course in the coming weeks? – DeFi will prove to be a catalyst?
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