Pre-Deposit Momentum

Definition ∞ Pre-deposit momentum refers to the observed trend or rate of asset accumulation into a particular smart contract, liquidity pool, or staking mechanism prior to a significant event. This event could be a protocol launch, a new farming opportunity, or an upgrade. It indicates investor and user interest and confidence in the upcoming development. High momentum suggests strong anticipation.
Context ∞ Crypto news often reports on pre-deposit momentum as an indicator of market sentiment and potential success for new decentralized finance (DeFi) projects or protocol changes. Significant inflows before a launch can signal strong community support and a likely surge in activity post-event. This metric provides insight into early adoption and market expectations for digital asset initiatives.