The weekly 🐰 hole (9 Apr 23) of liquidity movement & DeFi analysis - by zj.valz

Welcome to the weekly 🐰 hole (9 Apr 23) of liquidity movements & DeFi analysis, where we uncover key trends and insights into the top protocols and hidden gems.

Just buy LSD bro?

1. Stablecoin flows

2. Smart Money Movement

3. Top L1/L2 Financials

4. Top DAPP Financials

5. Movement Analysis

6. TLDR

1. Stablecoin Flows

Total Stablecoin MCAP = 131.93 bil, with 0.21% weekly change.

Top 10 Chain (In terms of Stables Mcap):

Top inflows:

1. Aptos

2. StarkNet

3. OKExChain

4. Canto

5. Arbitrum Nova

Top outflows:

1. Harmony (Probably a UI bug)

2. Hedera

3. Everscale

4. smartBCH

5. Elrond

2. Smart Money Movement

Cr: @ozfrox

Top Smart money inflows (including stablecoins):

1. DAI

2. wstETH

3. USDT

4. JPEG

5. Frax

Top Smart money outflows (including stablecoins):

1. USDC

2. Wrapped Ether

3. Coinbase Wrapped Staked ETH

4. BNB

5. BUSD

Top Smart money inflows (excluding stablecoins):

1. wstETH

2. JPEG

3. wstETH-rETH-sfrxETH

4. WETH (Optimism)

5. Convex

Top Smart money outflows (excluding stablecoins):

1. Wrapped ETH

2. Coinbase Wrapped Staked ETH

3. BNB

4. BUSD

5. AVAX

3. Top L1/L2 Financials

Fees-Generated

1. ETH

2. BTC

3. BNB

4. Arbitrum

5. Optimism

Revenue

1. ETH

2. Tron

3. Filecoin

4. Arbitrum

5. BNB

Earnings

1. ETH

2. Tron

3. Arbitrum

4. BNB

5. Optimism

DAUs

1. Tron

2. BNB

3. BTC

4. Polygon

5. ETH

Active Developers

1. ETH

2. Polkadot

3. Kusama

4. Cosmos

5. Cardano

Code Commits

1. Gnosis Chain

2. Internet Computer

3. Kusama

4. Polkadot

5. ETH

4. Top DAPP Financials

Fees-Generated

1. Lido

2. Uniswap

3. GMX

4. Convex

5. OpenSea

Revenue

1. dYdX

2. GMX

3. Lido

4. Level

5. Convex

Earnings

1. GMX

2. OpenSea

3. dYdX

4. Gains Network

5. Ethereum Name Service

P/F Ratio

Relative valuation of protocols (Lower the no. the “better”)

1. Venus

2. Hegic

3. Sonne

4. Lyra

5. Convex

P/S ratio

FDV mcap/Annualized Revenue (Take this metric with a pinch of salt as revenue figs used could be annualized and not actual revenues earned)

1. Hegic

2. Cap

3. BetSwirl

4. X2Y2

5. MUX

DAUs

1. Pancakeswap

2. Uniswap

3. OpenSea

4. Lens Protocol

5. 0x

5. Movement Analysis

Stablecoin flows:

• Total Stablecoin Market remained relatively flat this week at 131.93 billion.

• Aptos received the largest stablecoin inflow this week at 33.25%.

• Alt L1s continue to lose to L2s, with the latter seeing more stablecoin inflows each week.

Smart Money Movement:

• Smart Money are increasing their DAI/USDT stablecoin exposure.

• ETH derivatives remain the top investment category amongst Smart Money with the anticipated Shanghai Upgrade on 12 April 2023.

• Various Alts are bleeding against ETH as Smart Money started rotating back into stablecoins/ETH ahead of the volatile environment next week.

L1/L2 movement:

• zkSync Era TVL continues to climb amidst this crab market as legitimate protocols started launching their products on the chain.

DAPP movements:

• LSD protocols captured the majority of Defi’s focus this week, with Lido taking the top spot in fees generated ahead of the Shanghai Upgrade next week.

• $GMX remains one of the top protocols with solid financials. The rumoured synthetics launch in April could be bullish for GMX. Cr: @apes_prologue

• Do take caution as next week will be highly volatile with both CPI results and Shanghai Upgrade happening on 12 April 2023.

6. TLDR

• Shanghai Upgrade and CPI release on 12 April 2023 will make trading highly volatile. I do think it will be a “sell-the-news” event and recent price action seems to indicate a downward move is imminent.

• Use this time to consolidate your positions and prepare dry powder on the side to snipe entries on solid protocols.

Conclusion

That’s it Anon, hope you enjoyed the 🐰hole this week.

Follow me @zec_jay on Twitter or subscribe to this substack for more weekly deep dives.

Source:

Credits: