Crypto Market Update: Layer 2 TVL Hits $10.08B, Bitcoin & Ethereum Surge Amid Fundraising Boost
The cryptocurrency market is currently witnessing a steady landscape, with the total value locked (TVL) across Layer 2 networks reaching $10.08 billion, a slight increase from yesterday's $10.07 billion. Among the top five Layer 2 networks, Base leads with a TVL of $3.57 billion, up 1.31% from the previous day. Arbitrum follows closely with $3.13 billion, experiencing a minor decline of 0.31%. Optimism holds $765.58 million, down 0.10%, while Blast is at $619.27 million, down 0.97%. Mantle, however, shows resilience with a 2.44% increase to $522.62 million.
In the broader market, Bitcoin (BTC) is trading at $98,007, a notable rise from $95,635 yesterday. Ethereum (ETH) also sees gains, currently priced at $3,638, up from $3,579. This upward momentum in major cryptocurrencies coincides with significant fundraising activities today, totaling $25.10 million. The biggest rounds include U2U Network (Unicorn Ultra) raising $13.80 million, Avant securing $6.50 million, and Moongate bringing in $2.50 million. Cumulatively, this week has seen $98.81 million in fundraising.
Recent developments in the regulatory landscape are also shaping the market. Russian President Vladimir Putin has signed a law that introduces taxation on income and expenses from digital currency mining and trading. This legislation recognizes digital currencies as property, establishing a taxation framework that will come into effect in 2025, aligning crypto transactions with securities taxation.
Meanwhile, XRP has surged by double digits, hitting a new three-year high amid growing speculation surrounding exchange-traded funds (ETFs) and potential changes at the SEC. This surge underscores the excitement in the market as investors anticipate regulatory clarity.
On the institutional front, MicroStrategy continues its aggressive Bitcoin acquisition strategy. The company’s ability to borrow billions at 0% interest to buy Bitcoin indicates strong market confidence and may signal upcoming volatility.
Analyst Miles Deutscher highlights the convergence of decentralized AI and cryptocurrency, projecting a market potential of $1.8 trillion by 2025. His top picks, including Bittensor and Near Protocol, focus on innovation within decentralized AI infrastructure.
In Asia, Hong Kong is proposing to waive taxes on crypto gains for sophisticated investors, expanding tax exemptions to pension and endowment funds. This move aims to attract more institutional investment in the region.
