Cryptocurrency Market Decline: Layer 2 TVL Drops to $8.46B Amid Bitcoin and Ethereum Slumps
The cryptocurrency market is currently experiencing a notable downturn, with total value locked (TVL) on Layer 2 networks dropping to $8.46 billion from $9.01 billion yesterday. This decline reflects a broader trend impacting the top Layer 2 networks.
Here’s a snapshot of the TVL across the top five L2 networks:
- Base: $3.25B (down 6.93% from yesterday)
- Arbitrum: $2.78B (down 6.07% from yesterday)
- Optimism: $685.92M (down 6.04% from yesterday)
- Mantle: $433.56M (down 4.43% from yesterday)
- Blast: $406.86M (down 5.80% from yesterday)
In the broader market, Bitcoin (BTC) is trading at $91,986, down from $94,434 yesterday. Ethereum (ETH) has also seen a decline, currently priced at $3,040, down from $3,263.
On the fundraising front, total funding data is unavailable due to the weekend, but cumulative fundraising for the week stands at $325 million.
In related news, MoonPay has made headlines with its acquisition of Helio, a Solana-based payment processor, for $175 million. This move aims to enhance crypto payment services, indicating a push towards integrating crypto transactions into mainstream finance.
In the geopolitical arena, the U.S. has tightened AI chip exports, impacting access for countries like China. This new regulation sets quotas for around 120 countries, while 18 allies, including Japan and the UK, are exempt. This development underscores the growing intersection between technology and national security.
Meanwhile, in the context of Bitcoin's evolving status, recent reports highlight that it is entering 2025 as an established form of money. Key metrics for Bitcoin as a store of value and means of exchange are on the rise, solidifying its position in the financial ecosystem.
As the market adjusts to these shifts, stakeholders are keenly observing the interplay between technological advancements and regulatory changes that could shape the future of cryptocurrency.
