DeFi market cap share has fallen to its lowest level in three years

Data shows that DeFi dominance, which measures the percentage of DeFi market cap as a percentage of global cryptocurrency market cap, has fallen to its lowest level in three years, falling from 3.82% on Monday to a low of 2.84% on Friday. This is the lowest point of the index since early January 2021, just before the sharp appreciation before the "Summer of DeFi" in 2021. Since September 2022, when DeFi dominance was about 4.8%, this number has gradually trended downward, with occasional small rebounds. By the beginning of 2024, this ratio had fallen to 4.47%. In 2024, sectors such as memecoin outperformed the market, and the launch of ETFs for BTC and ETH also attracted institutional interest in these assets. As a result, most DeFi tokens are in a state of uncertainty. This has caused DeFi dominance to fall by 29% so far this year, and market participants have little interest in the performance of most DeFi tokens.