MERL Pullback Analysis: What Opportunities Lie Behind the $3.5B+ Locked Value?

MERL today’s price trend: after a sharp rise, it pulled back with a decline of double digits.

According to the data from the Gate platform, as of July 25, 2025, 10:45:

• The latest price of MERL/USDT is 0.11135 USD;
• The 24-hour decline is -10.70%;
• The high point is 0.16764 USD, and the low point is 0.11069 USD;
• The trading volume reached 141 million MERL, with active turnover.

This indicates that after a sharp rise yesterday, short-term profit-taking in the market was concentrated, leading to a rapid pullback, and the market has entered a technical consolidation phase in the short term.

Merlin Chain Lock-up Position data soars, ecological enthusiasm continues to grow.

Despite the pullback in MERL prices, the TVL (Total Lock-up Position) of Merlin Chain continues to perform impressively:

• Less than a month since the mainnet launch, the Lock-up Position has already exceeded 3.5 billion USD.
• TVL is primarily concentrated in Merlin’s native bridging, liquidity pools, NFT collateral, and other core modules;
• Ranking among the top in the Bitcoin ecosystem Layer 2 projects, demonstrating strong capital absorption ability.

The rapid rise of TVL not only represents the inflow of funds but also signifies users’ recognition of the platform’s asset security and functionality.

Bitmap Tech and Ordinals: The Native Engine of the NFT Sector

The parent company of Merlin Chain, Bitmap Tech, is one of the earliest OG project teams in the Ordinals track, and its launched BRC-420 Blue Box series is very popular in the Bitcoin NFT community.

The team:

• Specializes in the issuance and standard setting of BTC native assets;
• Have access to quality NFT creator resources;
• Strong market value management capability, with a total valuation exceeding 500 million USD.

Bitmap Tech’s resources have injected core competitiveness into the NFT sector of Merlin Chain, further enhancing platform activity.

During the market adjustment period, has MERL entered the undervalued zone?

From the data, the pullback of MERL from its peak has exceeded 34%, but the project’s fundamentals have not shown any negative changes; instead, the Lock-up Position and user participation are still increasing.

This likely means:

• The current price reflects market sentiment rather than project value.
• If the market warms up later, MERL is expected to recover quickly.
• If ecological applications continue to expand, the price will have more solid support.

Therefore, although short-term pressure is present, the medium to long term is expected to become an important “value pit” in the BTC Layer2 sector.

Investor Reference Strategy: Shift from Sentiment Trading to Fundamental Currency Selection

In the face of the current volatile market, investors may consider:

• Low Position Layout Method: $0.110 is a key short-term support level, suitable for setting up staggered positions;
• Observe the changes in TVL and the number of applications: Track the new protocols launched on Merlin and the activity levels of applications;
• Focus on ecological linkage: The launch of the NFT sector and GameFi sector may drive a new round of MERL increase.

Conclusion

Although the current price of MERL is under pressure, the technical depth, capital appeal, and community foundation demonstrated by Merlin Chain determine that it is not a speculative bubble project. For investors with a long-term perspective, this may be the key window period of “undervaluation.”