Several DeFi tokens saw their prices breakout on Feb. 4 as Bitcoin (BTC) and Ether (ETH) prices traded sideways for the day. Aside from the general bullish trend permeating the DeFi sector, positive comments from big-name investors touting the benefits of blockchain technology and DeFi appear to be lifting sentiment throughout the sector.

Currently, Bitcoin price is still struggling to reclaim the $38,000 level and according to Cointelegraph analyst Marcel Pechman, top traders may have added to their short positions as BTC rallied toward $38,000 on Feb. 3.

667af230 397d 44a6 88af 1775a94d4a3a
Daily cryptocurrency market performance. Source: Coin360

Elon Musk made waves again as his “DOGE” tweet resulted in a sharp volume spike which sent Dogecoin (DOGE) into a 48% rally to $0.054. XRP price also broke out, rallying 12.45% to a daily high at $0.4365.

Universal Market Access (UMA) saw its price explode by 158% to reach a new all-timeat $44.25 before correcting to its current value of $33.13. Decentralized exchange liquidity provider 0x (ZRX) also spiked 70% to a new 2021 high at $1.35.

ec4ffa08 7dde 4074 8ae3 1c58f86fd3cc
AAVE vs. MKR vs. COMP percentage growth 4-hour chart. Source: TradingView

DeFi lending platforms AAVE, Compound (COMP) and Maker (MKR) all established new all-time highs as their prices have spiked 46.68%, 36.6% and 22.69% respectively.

Traditional markets rally higher

Traditional markets also caught a boost as stocks saw their fourth straight day of gains led by tech stocks like eBay (EBAY), which saw its price increase by 5%, and PayPal (PYPL) whose shares rallied 7%.

The S&P 500, Dow and NASDAQ all closed the day well into the green, up 1.09%, 1.08% and 1.23% respectively.

DeFi attracts mainstream attention

Increased attention from business leaders like Mark Cuban and institutions such as Grayscale Investments has brought increased attention to the crypto sector and also highlights the rapidly increasing involvement of traditional finance in the cryptocurrency ecosystem.

7e8a366e 543c 44d7 81cc 418eb2adce12
BTC/USD daily chart. Source: Coin360

With MicroStrategy CEO Michael Saylor offering a ‘Bitcoin Bootcamp’ to more than 1,400 publicly traded companies over the past 2 days, the recent price movements and increased trading volume seen today could be the start of wider adoption and increased inflows into Bitcoin and the emerging DeFi ecosystem.

The overall cryptocurrency market cap now stands at $1.13 trillion and Bitcoin’s dominance rate is 60.9%.

Source: COINTELEGRAPH

5 Things to Consider Before Investing in Cryptocurrency

5 Things to Consider Before Investing in Cryptocurrency

5 Things to Consider Before Investing in Cryptocurrency There is no question that cryptocurrencies have established a new investing sector. With the value of digital currencies such as Bitcoin over ...
Read More
Crypto Tax In India Guide

Tax on Cryptocurrency In India – Complete Guide 2022

Wondering how taxation on crypto works in India? How much do you have to pay tax on cryptocurrency in India? How 1% TDS is levied on crypto? Don’t worry we ...
Read More

What Online Industries Affect The Growth of Crypto the Most in 2023?

A cryptocurrency is a form of digital asset that may be traded freely, independent of a bank or centralized authority. The $1 trillion cryptocurrency industry is now represented by 23,994 ...
Read More
shutterstock 659324809 1 1U2yg5

New Cryptocurrency Bill Advances to Senate in Brazil

A new cryptocurrency bill was approved by the Chamber of Deputies of the Brazilian Congress last week, and is now awaiting review by the Senate for approval. The project, if ...
Read More
shutterstock 2041962896 6krKZj

USDC Sees Native Launch on Avalanche

USDC, the second leading stablecoin by market cap, has been launched on the Avalanche blockchain as a native token. Previously, users wanting to get USDC in Avalanche had to bridge ...
Read More
Share with Others