Key Points:

• Pendle has reached an all-time high of $171.25 million in TVL, driven by its unique approach to yield farming.
• The project’s native token has surged by approximately 4,000% this year, from $0.044 to $1.75, attracting significant attention from investors.
• The protocol’s success can be attributed to factors such as the Ethereum Shanghai upgrade, which enabled the withdrawal of staked ETH.

On July 5, total value locked (TVL) in Pendle, a DeFi protocol that divides yield-bearing tokens into principle and yield components, reached an all-time high of $171.25 million.

This year’s growth of PENDLE has been spectacular. The token has risen from $0.044 at the start of the year to $1.75. The project’s token, which collects protocol fees while locked, is up roughly 4,000% this year, trading at levels last seen at the bull market’s peak two years ago. A spike of this size cannot be explained only by a recent listing. A close look into the on-chain data uncovers some intriguing insights into the factors behind the protocol’s extraordinary success.

Moreover, whales’ accumulation of PENDLE might be seen as a significant vote of confidence in the protocol’s long-term potential. Pendle’s novel approach to yield farming, which allows users to tokenize and exchange future produce, has grabbed the curiosity of forward-thinking investors.

Inflows increased when Ethereum’s Shanghai upgrade went online in April, allowing for the first-time withdrawals of staked ETH. According to DeFiLlama data, approximately $40 million in stETH has been tokenized on the network since then.

Pendle, in addition to yield-splitting, has an automated market maker (AMM) where traders may buy and sell either the primary token or its related yield independently. On July 3, the AMM observed a significant increase in activity, with over 8,500 transactions.

Currently, the price of PENDLE is trading at $0.87, it broke the previous $0.66 resistance area and once reached the $1.75 mark. The current price is also close to the Fib %61.8 level. We need to wait for more signals to consider this price area.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your research before investing.

AMM

ETH

Ethereum Shanghai

Pendle

stETH

TVL

Author

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.

Analysis

Pendle Opens Up New Growth Potential With TVL Up Nearly $150M

Key Points:

• Pendle has reached an all-time high of $171.25 million in TVL, driven by its unique approach to yield farming.
• The project’s native token has surged by approximately 4,000% this year, from $0.044 to $1.75, attracting significant attention from investors.
• The protocol’s success can be attributed to factors such as the Ethereum Shanghai upgrade, which enabled the withdrawal of staked ETH.

On July 5, total value locked (TVL) in Pendle, a DeFi protocol that divides yield-bearing tokens into principle and yield components, reached an all-time high of $171.25 million.

This year’s growth of PENDLE has been spectacular. The token has risen from $0.044 at the start of the year to $1.75. The project’s token, which collects protocol fees while locked, is up roughly 4,000% this year, trading at levels last seen at the bull market’s peak two years ago. A spike of this size cannot be explained only by a recent listing. A close look into the on-chain data uncovers some intriguing insights into the factors behind the protocol’s extraordinary success.

Moreover, whales’ accumulation of PENDLE might be seen as a significant vote of confidence in the protocol’s long-term potential. Pendle’s novel approach to yield farming, which allows users to tokenize and exchange future produce, has grabbed the curiosity of forward-thinking investors.

Inflows increased when Ethereum’s Shanghai upgrade went online in April, allowing for the first-time withdrawals of staked ETH. According to DeFiLlama data, approximately $40 million in stETH has been tokenized on the network since then.

Pendle, in addition to yield-splitting, has an automated market maker (AMM) where traders may buy and sell either the primary token or its related yield independently. On July 3, the AMM observed a significant increase in activity, with over 8,500 transactions.

Currently, the price of PENDLE is trading at $0.87, it broke the previous $0.66 resistance area and once reached the $1.75 mark. The current price is also close to the Fib %61.8 level. We need to wait for more signals to consider this price area.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your research before investing.

Other Posts

Related Posts

[tptn_list limit="8" title_length="0" heading="0" show_date="0" daily="1"]