Is the Layer-1 network significantly undervalued?
A new Layer-1 blockchain network exhibits one of the fastest adoption curves in modern history. Based on current data, the Monad network reached $200 million in total value locked (TVL) in just 18 days.
In comparison, the Sui network took eight months to reach the same milestone, while Solana took nearly a year.
This accelerated liquidity influx has raised questions about whether the market is significantly underpricing the MON token at this early stage.
MON is trading near a market value of $280 million.
Despite the rapid growth in total value locked (TVL), the MON token is trading at a market value of around $280 million. Many analysts see this as a clear imbalance between ecosystem demand and token valuation.
As one observer noted, MON is trading "like pistachios" rather than being a high-performance tier-one asset. The bottom line is simple: the market may not yet be valuing Monad as a serious long-term competitor.
When tier-one valuations are wrong, repricing is usually sharp.
The cryptocurrency market has seen similar patterns before. Solana was significantly underpriced before its ecosystem gained momentum. Avalanche and Near experienced similar turning points, with strong repricing once total value locked (TVL) and developer activity reached critical mass.
If Monad continues to expand at this rate, it may face a similar adjustment in valuation.
Why does Monad attract liquidity so quickly?
Several factors are likely driving this rapid growth:
* High-performance execution with compatibility with the Ethereum Virtual Machine (EVM compatibility).
* Growing demand for scalable alternatives to existing tier-one networks.
* Attractive early yield opportunities.
* Strong interest from developers exploring parallelized execution.
* New liquidity is shifting from older narratives to new ecosystems.
If current trends continue, Monad could surpass the $300 million mark in total value locked (TVL) within weeks.
Holistic view: the tier-one rotation cycle may begin anew.
Monad's trajectory signals a broader shift in market appetite. Liquidity and interest appear to be returning to high-performance tier-one ecosystems capable of executing familiar EVM contracts quickly and at larger scale. This environment may set the stage for the next cycle to enter early-stage infrastructure projects.
BTCUSA forecast.
The early metrics for Monad are notable. Reaching $200 million in TVL in less than three weeks places it among the fastest-growing chains in the last cycle. With a market value approaching $280 million, the discrepancy between demand and valuation is hard to ignore.
We anticipate the following developments:
* Potential repricing of the MON token if adoption continues.
* Increased liquidity migration from older tier-one networks.
* Rapid expansion of native applications.
* Increasing interest from funds seeking early exposure.
* Enhanced incentive programs within the Monad ecosystem.
If the current momentum continues, Monad could transition from being an experimental chain to a major tier-one competitor much sooner than expected.
