What is the following for ETH where traders switch $ 86 million in Solana Defi protocols?
The price of ETHEREUM fell to less than $ 1,600 in the face of pressure amid a $ 86 million Defi Capital flight to faster and low -cost competitors such as Solana.
Capital rotation in Solana Spears fears for Eterium Devi’s domination
ETHEREUM (ETH) faces renewed competitive pressures after about $ 87 million of assets that migrated from its ecosystem to competition the following week to cancel former US President Donald Trump to regulate the controversial decentralized financing (Defi).
On April 10, Trump has signed a draft law that turns on the authorization of the Biden era, which requires Defi protocols to comply with the rules of your agent (KYC) and the anti -money laundering rules (AML). The reflection was widely interpreted as a victory for local projects for encryption, which led to the removal of a major organizational accumulation that threatens the structure of the sector without permission.
But for Ethereum – the current axis of Defi’s liquidity – the effect was less than favorable.
According to data from Wormhole, the largest bridge across the series on ETHEREUM, Solana acquired the lion’s share of external flows with a redirect of more than $ 54 million to its ecosystem. Al -Qaeda, Arbi and Valnish were followed, attracting $ 9.6 million, $ 5.8 million, and $ 3.9 million, respectively.
Fast transfers from Ethereum Sparks 21 % for Solana
It is worth noting that the assets associated with Solana have been converted into Defi protocols such as Jupiter, Kamino, and Marginfi.
Based on the latest data from Defillalama, Solana TVL has been a fixed rise since Trump’s signing was canceled last week.
As shown in the above chart, Solana TVL increased by 12 % from 6.1 billion dollars on April 9, becoming a sign of $ 6.9 million at the time of the press on Wednesday, April 16. This indicates that investors have deposited more than $ 800 million in various Solana Defi protocols during the past week.
With the current Solana Price trading at $ 135, an increase of 21 % on the weekly timetable. Relatively, the ETHEREUM price is traded less than $ 1,600, with 8 % profit on the weekly candle, reflecting the second lowest return between the top 10 assets of encryption in the rank.
Look forward:
It enhances the DEFi Fund flows that have been observed on the narration worm bridge that ETHEREUM can lose market dominance, as it encourages the deepening of the organizational clarity of investors to switch towards the rival layer -2.
The continuous migration direction from ethereum to faster and lower -cost networks. Ethereum still leads to the total closed value (TVL), but this week’s data is a clear indication of momentum change.
More importantly, the main institutional players who ventures encryption on new topics such as assets in the real world and the code of securities are increasingly choosing alternative protocols for 1 class such as Hedra and Avalanche, while Solana and Cardano maintain a strong comment on retail dominance.
Solana, who suffered from performance concerns in 2022, has made a major shift in both the time of operation and developed activity.
The network has been processed by more than 60 million daily transactions this week, much exceeding 1.1 million from ETHEREUM, and maintained a average fee of less than $ 0.01, according to Solana Explorer data.
ETHEREUM Prices: ETH Eyes $ 1700 with momentum transformations
ETHEREUM price expected plans show early signs of a possible recovery after closing it at $ 1,592.60, and gained 0.24 % a day.
Bollinger ranges began to pressure, indicating the pressure of fluctuation, with medium range resistance at $ 1,695.42 as the first bullish goal. The ETH price is currently trying to restore the Earth inside the lower half of the ranges, indicating the possibility of a bullish reflection.
The equivalent SAR Points turned under the candlestick, which is a classic purchase signal in direction follow -up strategies.
This adds more weight to the upcoming ETHEREUM price expectations, especially since the MacD chart turns into green lands for the first time in weeks. The MACD line rises to the signal line, indicating that the upscale momentum may be dominated soon.
If ETH is $ 1,695, then payment towards the upper bollinger range at $ 1960 becomes reasonable. However, the failure to maintain current support near $ 1430, and the ETH price risk a value of $ 1,397.19, as the last confirmed support.
Related questions (common questions)
ETHEREUM is intense competition from a low -cost layer, such as Solana, especially after $ 87 million in assets that were deported after the organization.
Ethereum still leads to the total closed value (TVL), but continuous migration to Solana and others poses a real competitive threat.
Yes, Ethereum is still essential for Defi, but investors must monitor the changing flows and regulatory developments that affect its ecological system
Ibrahim
The encryption analyst that covers the derivative markets, macro trends, technical analysis and Defi. His business is characterized by in -depth market visions, price expectations and institutional research on digital assets.
Responsibility: Is market research before investing in encrypted currencies? The author or post does not bear any responsibility for your personal financial loss.
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