At the end of May, Bitcoin and Ethereum fell 15.6% and 28.8% respectively, and the total value of assets in the DeFi segment fell 43%. This is noted in the ForkLog report.
The collapse of the Terra ecosystem caused a prolonged market correction. On May 12, the first cryptocurrency hit $26,700, the lowest since December 2020.
Ethereum price tested the $3,000 level but failed to gain a foothold above it. On May 27, the cryptocurrency hit a local low of around $1,700. The asset was last at this level in July 2021.
Locked funds (TVL) in Dapp smart contracts fell 43% to $117.48 billion.
Terra, the second-ranked ecosystem on TVL, lost to BNB Chain ($9.13 billion as of June 1) – its own benchmark fell from $23.62 billion to $0.05 billion.
The volume of funds blocked in smart contracts of the undisputed leader Ethereum fell from $108.83 to $71.98 billion in April. The Tron-based app ecosystem was in third place, with TVL increasing by 48% ($6.34 billion) last month.
Against the backdrop of a market correction and Terra’s collapse, all DeFi tokens in the top 20 appeared to be in the red zone with a capital letter.
The yEarn Finance (YFI) project token showed the worst dynamics with a loss of more than 53%. In second place is the native token of the cross-chain protocol THORChain (RUNE). Its shares fell 52 percent.
Among projects in Ethereum, leadership in TVL has shifted to the Aave landing platform ($11.61 billion). In second place is MakerDAO ($9.89 billion).
Shares of crypto-related public companies have responded to the negative background in the same way – falling. At the end of May, Galaxy Digital and Coinbase securities lost 42.38% and 30.93%, respectively.
Riot Blockchain, Hut 8, and Marathon Digital fell 28.74%, 28.37% and 34.25%.
Interest in fiat tokens fell again in May. The dynamics in the segment are mirrored by its flagship marketplace OpenSea – trading volume on it has reached $2.48 billion, the lowest level since November 2021. The decrease was also shown by the number of searches for “nft” on Google.
Sponsor of “Bitcoin industry by numbers” column – global blockchain ecosystem Binance.
Recall that JPMorgan analysts acknowledged that the crypto winter will be short-lived due to the influx of venture capital into the industry.
Source: Fork Log
I’m Sandra Torres, a passionate journalist and content creator. My specialty lies in covering the latest gadgets, trends and tech news for Div Bracket. With over 5 years of experience as a professional writer, I have built up an impressive portfolio of published works that showcase my expertise in this field.