The Ethereum-based L2 ecosystems have recently seen a sheer drop in their total value locked. As per the data from CoinRank, the cumulative TVL of the Ethereum L2s has plunged to $43.29B. This significant drop indicates a 1.97% slump over the recent days. In this respect, the respective development highlights the ongoing volatility across the DeFi sector. Additionally, it displays the effect of the wider market trends on Ethereum’s L2 scaling solutions.
Ethereum ($ETH) Sees 1.97% Slump in L2 TVL
CoinRank disclosed the TVL of the prominent five L2s in its recent X post. The blockchain analytics platform asserted that Ethereum’s L2 TVL has decreased over the recent days. With a 1.97% slump, over the week, the respective figure is currently standing at up to $43.29B. Keeping this in view, the market is becoming increasingly volatile as the L2 TVL reveals a cautious sentiment prevailing among the users and investors.
Arbitrum One and OP Mainnet Record -2.63% and -5.69% Dips
Apart from Ethereum, Arbitrum One’s L2 TVL is nearly $16.29B. This figure shows a -2.63% decline. In addition to this, OP Mainnet has also experienced a -5.69% decline to reach the present TVL level of $6.41B. On the other hand, the other 3 L2 networks have seen slight increases in TVL. Hence, Base’s TVL is up to $1.396B, indicating a +0.009% growth. Along with that, ZKzync Era’s present TVL is $1.16B, recording a substantial +3.82% increase. Moreover, Starknet’s TVL of almost $878M points out a +3.28% rise.
L2 TVL Decline Parallels Ethereum’s Recent Price Decrease
At present, $ETH is trading at $3,267.73, with a 0.92% spike over the past 24-hours. In Contrast, the 7-day performance of the crypto asset shows a 0.67% dip. Furthermore, it saw a 4.85% decline over the past month. Simultaneously, this dip in the L2 TVL is also a signal of the overall reluctance among the investors. However, this appears to be a short-term dip in activity, and potentially positive market developments and macroeconomic conditions can shift the momentum.
