Maple Finance (SYRUP) was also among the assets affected by widespread selling in the last 24 hours.
The token reached $0.20 early Thursday before pulling back along with the broader crypto market. It was last traded at this level on May 26.
However, Maple Finance’s on-chain performance remained positive, creating a divergence between protocol activity and SYRUP’s price.
Why did Maple’s TVL increase?
Capital invested in Maple Finance continued to grow despite the token’s decline.
According to DeFiLlama, the protocol’s Total Value Locked (TVL) increased by approximately $173 million in 48 hours.
However, increased TVL does not necessarily represent an equivalent amount of fresh capital. Changes in underlying asset prices may also affect this.
Despite this, the increase showed that SYRUP was facing a market-wide sell-off while Maple maintained demand.
DeFiLlama also recorded approximately $153,000 in Owners’ Income in July. This metric tracks the value distributed to token holders.
While these distributions do not guarantee stronger price performance, they can support demand retention.
Why are SYRUP traders pulling back?
SYRUP’s decline appeared to follow more general market weakness rather than protocol-wide deterioration.
CoinGlass data showed that Open Interest fell approximately 7% in the past day.
This amount decreased from $24.15 million to $22.44 million, removing $1.71 million from outstanding derivative positions.
Falling Open Interest suggested investors were reducing their risk as volatility increased. However, it did not explain whether long positions or short positions were closed voluntarily.
Meanwhile, approximately $27,390 of the SYRUP position was liquidated during the period.
The relatively small liquidation figure suggested that forced closures explained little of the broader Open Interest decline.
Moreover, the Long/Short Ratio dropped to 0.74. The reading showed that within the chart’s measured cohort, short positioning outweighed long positioning.
Can Maple’s growth support SYRUP?
The broader crypto market also contracted sharply as investors reduced risk.
The capitalization of the cryptocurrency market, excluding stablecoins, decreased by approximately $90.71 billion after July 15.
However, market value losses do not represent an equal amount of withdrawn capital. Prices may fall with much smaller net sales flows.
SYRUP may regain demand if market sentiment improves and Maple Finance continues its protocol growth.
Final Summary
- Maple Finance’s TVL increased by $173 million despite SYRUP’s price decline.
- SYRUP’s Open Interest fell 7% as derivatives traders reduced their exposure.
