According to DefiLlama data, the total lock up volume (TVL) of DeFi has decreased by over 30% from its high of $137 billion in December last year, and is currently at $94.5 billion, hitting a recent low of $88 billion last month. Analysts believe that this decline is mainly influenced by macroeconomic pressures and the immaturity of the DeFi ecosystem. Kronos Research CIO Vincent Liu stated that market uncertainty has led to a decline in user confidence, a decrease in active addresses in the cryptocurrency market, price corrections, and intensified competition in other blockchain markets, further exacerbating this trend.
In addition, US President Trump's trade tariff policies and inflation concerns have also weakened the previous cryptocurrency bull market sentiment. The price of Bitcoin has dropped from a high of $108000 in January to around $83000 currently, while Ethereum has fallen from $4000 to $1800. HashKey Research Director Kevin Guo pointed out that DeFi still needs further maturity to achieve deep integration with institutions and financial products, while improving user experience and security.
