- Bitcoin Decentralized Finance (BTCFi) has surged 2,700% in the past year as sentiment around the asset skyrockets.
- Bitcoin long-term holders have accumulated 400,000 BTC since February 2025, bringing the total held to 13.5 million.
A latest Binance research report has disclosed that Bitcoin-based Decentralized Finance (BTCFi) has surged by more than 2,700% in just one year. According to the report, its Total Value Locked (TVL) has reached an impressive amount of $8.6 billion, highlighting its use beyond the normal “store of value” tag to a yield-bearing asset.
Commenting on the data, Binance disclosed that the DeFi activities around Bitcoin could further rise to a significant height due to a potential rate cut which may increase sentiment. Meanwhile, the continued growth of the BTCFI sector has been tipped to unlock new opportunities for holders via liquidity provision and other DeFi mechanisms.
According to a Binance spokesperson, these opportunities are inevitable, but it is very early to determine the full impact. Also, he believes that the evolving market could increase demand for the asset and subsequently impact the price.
This may contribute to a shift in how BTC is perceived — from a passive store-of-value to a productive on-chain asset. While it’s too early to determine the full impact, these evolving use cases could support broader adoption and, over time, strengthen demand.
BTCFi interest started skyrocketing after the April 2024 Bitcoin halving. At that time, Babylon had unveiled the first Bitcoin staking while Hermetica had also launched the first synthetic dollar backed by Bitcoin. As of January, Babylon led Bitcoin DeFi growth with 80% TVL share, as summarized in our earlier news story.
Bitcoin (BTC) Long-Term Holders Increase their Position
Currently, long-term Bitcoin holders (people who have held BTC for at least 155 days) have increased their holdings by 400,000 BTC since February 2025. According to on-chain data, this brings the total amount held to 13.5 million BTC.
Earlier, Glassnode disclosed that holders who have held their Bitcoin for the past three to six months are experiencing profits. Meanwhile, Bitcoin is currently down by 8% in the last 30 days and 2% in the last seven days while trading at $82k.
On the price trend, an analyst identified as Pejman has disclosed that the asset could continue its decline below the current level. Similarly, analyst Kevin Capital believes that Bitcoin could decline to $78k. However, there is also a possibility that the asset could return to the $87,000 to $90,000 range.
Earlier, BitMex’s CEO Arthur Hayes predicted that Bitcoin could record a bullish run in April and would be triggered by a possible rate cut. As mentioned in our previous news brief, Hayes also argued that the recent $77k could be a bottom level of the asset.
In a different report, Network economist Timothy Peterson also predicted that Bitcoin could stage an explosive run to $126k by June 1. As explained in our last analysis, Peterson believes that April and October have been the most bullish months for the asset.
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