DeFi TVL Tops $161B as Lido, AAVE & Solana Lead Surge
DeFi TVL has climbed to a 40-month high of $161 billion, driven by record inflows into leading protocols. Ethereum dominates with $97.6 billion, while Solana’s TVL reached $11.4 billion. Liquid staking platform Lido saw its TVL jump from $30 billion to $42.5 billion in three weeks, surpassing AAVE’s $41.1 billion. Recent net inflows into US spot Bitcoin ETFs ($6 billion) and ETH-based ETFs ($5.4 billion) have bolstered liquidity. Bitcoin dominance fell to 57%, the lowest since January, as capital shifts toward Ethereum and altcoins. With macro uncertainty easing, this DeFi TVL surge could mark the start of a new altseason, though traders should brace for volatility.
Bullish
The sharp increase in DeFi TVL to a 40-month high indicates rising liquidity and strong investor confidence in leading protocols like Ethereum, Lido and AAVE. Short-term, this surge may drive price gains as capital rotates from Bitcoin into DeFi assets and altcoins, supported by ETF inflows. Long-term, sustained TVL growth and easing macro uncertainty could signal an extended altseason, attracting further institutional participation. However, heightened speculative activity may increase volatility, requiring traders to manage risk carefully.