STRK Slumps 57% in Four Weeks as Starknet Rally Unwinds

Starknet’s STRK token has fallen 57% over four weeks as the network’s DeFi total value locked dropped to $35.8 million, following Extended’s decision to move settlement to Arc. The TVL decline compounds pressure on Starknet, whose proposed transition to a Layer 1 remains at the research stage. The token slump and liquidity exit matter because they test confidence in Starknet’s long-term roadmap while capital rotates toward competing settlement venues. Watch for further TVL outflows and any concrete timeline for the Layer 1 transition.