Bullish sentiment is running high across the cryptocurrency market on Oct. 20 every bit Bitcoin'southward (BTC) surge to a new best high at $67,000 thrust the digital asset into uncharted territory, with investors closely watching to see how altcoins and decentralized finance (DeFi) tokens react to the move.

Crypto Fear & Greed Alphabetize. Source: Alternative.me

The DeFi sector has also benefited from BTC'southward bullish breakout, and today, the total value locked (TVL) beyond all DeFi protocols climbed to a new record loftier.

According to information from Defi Llama, which collects data from DeFi protocols across all major blockchain networks, including Binance Smart Chain, Barrage and wrapped Bitcoin (wBTC), in that location is now more $233.88 billion in value locked in protocols across the various blockchain networks. Currently, Aave leads with $eighteen.79 billion, and Bend comes in second identify with $17.97 billion locked in value.

Total value locked in DeFi. Source: Defi Llama

As a upshot of the surging price of Bitcoin, wBTC is now ranked fourth in terms of TVL, with $14.51 billion in value being deployed beyond the DeFi landscape.

The biggest gainers in TVL over the past 7 days were Trader Joe with a 57.2% increment and Rari Capital, which saw a 50.57% surge. Yield Yak also gained 36.52%.

Peak TVL gainers in the past seven days. Source: Token Terminal

New users flow into DeFi

In add-on to the ascent token values, the DeFi ecosystem also saw a sharp increase in new user inflow, and data from Dune Analytics shows that three,591,876 unique wallets have at present interacted with at least ane DeFi protocol.

Total DeFi users over fourth dimension. Source: Dune Analytics

Despite the inflow of new users, trading volumes across decentralized exchanges (DEX) take remained beneath the highs set up in May and are currently lower than the action seen in recent months as well.

Monthly DEX volume. Source: Dune Analytics

One possible explanation for this has been the increased focus on BTC over the past couple of months, as speculation nigh when a Bitcoin exchange-traded fund would laissez passer and whether or non BTC'south toll will have surpassed $100,000 by the terminate of 2022 dominated conversations.

Related: Ethereum nears its own all-time loftier every bit ETH price retakes $4K

Stablecoin growth hints at future need for crypto

Another factor contributing to DeFi'southward growth could be the steady integration and infusion of stablecoins.

There has been an interesting history of increases in the circulating supply of Tether (USDT) coinciding in large function with run-ups in the price of Bitcoin, and this most contempo rally is no exception because on the same day that BTC established a new best high, and so to did the circulating supply of USDT.

The importance of stablecoins to the overall DeFi economy is also evidenced by the total value locked on Curve, which specifically deals with the cosmos of stablecoin pools for use across the ecosystem.

The overall cryptocurrency market capitalization at present stands at $2.635 trillion, and Bitcoin'due south dominance rate is 47.v%.

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