DeFi tokens outperform the broader markets, with Aave and Synthetix up 30%

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DeFi tokens outperform the broader markets, with Aave and Synthetix up 30%

Many top DeFi tokens are outperforming the broader markets, with the native tokens of Uniswap, Aave, Compound, and Synthetix posting double-digit gains over the past 24 hours.

DeFi assets went on a tear on Saturday, while each of the top ten crypto assets by capitalization traded within a 2% range, according to CoinGecko. AAVE and Comp surged by an enormous 30%, while SNX rallied 19%, and UNI gained 12%. The dYdX, Curve, and PancakeSwap were also up about 7% today.

The combined total value locked in DeFi protocols and the market cap of DeFi assets have risen more than 10% in the past ten days.

DeFi tokens were underperformed for much of the 2023 period, with obscure memecoins and Bitcoin catching the eye of traders in recent months.

In April, Memecoins surged into the Bitcoin network and broke into a resurgence as the BRC-20 token standard's popularity surged, resulting in a record-high for the veterans network's on-chain activity. Together with Bullish anticipation for Bitcon's third halving in roughly ten months, BTC is up 20 percent in 10 days and its market dominance has reached a two-year high of more than 50%.

But a recent resurgence in on-chain activity for many DeFi dApps is now visible, with a report released June 22 by DappRadar noting a recent resurgence in on-chain activity for many DeFi dApps. Data from DappRadar shows that the number of unique wallets engaged with Aave is up 28%, while Lido is up 17%, and Convex Finance grew by more than a third.

Active monthly users doubled on Pendle, increased 30 percent on PoolTogether, and jumped 17% for Polygon's PoS Chain bridge.

DeFi has also received a shot in the arm from the recent rise in dApp integrations supporting liquid staking tokens, dubbed LSTfi. Lido's stETH and Rocket Pool's rETH enable holders to accrue staking rewards without running a node or locking up their liquidity, making it an ideal choice for liquid staking tokens.

DeFi integrations offer more yield to LST holders, making them a popular strategy for traders seeking to maximize capital efficiency of their staking exposure. Dune Analytics has revealed that more than 8 million ETH is locked in LST tokens based on Ethereum, according to Dune Analytics.