DeFi Market Hits $153B as Ethereum Rallies Near $4,000
The decentralized finance, DeFi market has reached a fresh three-year high, with Total Value Locked (TVL) surpassing $153 billion, according to DefiLlama. This milestone follows a massive rally in Ethereum (ETH), which recently climbed above $3,900, sparking renewed interest in yield-generating DeFi protocols.
Defi Market, Ethereum Surge Fuels DeFi Boom
Over the past month, Ethereum’s price jumped over 60%, moving from $2,423 to $3,887. As of today, ETH is hovering around $3,786, marking a 7-day gain of 3%. This bullish momentum is largely driven by institutional inflows, particularly from firms such as:
- Sharplink Gaming, which boosted its ETH treasury to 360,807 ETH (worth over $1.3 billion).
- BitMine, which reportedly executed a $2 billion ETH acquisition earlier this month.
These moves have amplified the TVL across Ethereum-based DeFi protocols, with investors seeking higher returns than traditional staking alone.
Ethereum Dominates DeFi TVL
Ethereum continues to dominate the DeFi space, holding a 59.5% share of the entire market. Leading platforms include:
- Lido – around $34 billion TVL
- Aave – about $32 billion TVL
The $153 billion DeFi TVL is now higher than December 2024 levels and is approaching May 2022 highs, just before the Terra ecosystem collapse wiped out over $60 billion in value.
Yield Farming Strategies Gain Popularity
In 2025, passive holding is no longer the norm. DeFi users now aggressively pursue yield farming strategies that go beyond standard staking (which typically offers 1.5%–4% APR).
A strategy shared by OlimpioCrypto on X involves looping USDC and sUSDC between Euler and Spark on Unichain, earning up to 25% APR through:
- Spark’s SSR and OP rewards
- Euler’s rEUL and USDC subsidies
For newcomers, a simpler version involves just minting sUSDC on Spark and pairing it with USDC on Euler. While yields are slightly lower and may last just a week, these methods are gaining traction due to their potential for quick gains.
Final Thoughts
With ETH nearing the $4,000 mark and DeFi protocols offering creative ways to earn double-digit yields, the DeFi market is back in the spotlight. As institutional adoption deepens and more users explore high-yield strategies, $153 billion may only be the beginning for DeFi in 2025.
However, investors should remain cautious, as many yield incentives are short-lived, and defi market reversals can trigger swift liquidity exits.
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