Flow Season 2 DeFi Report: TVL Soars 46%, Smart Contract Hits New High, Disney Collaboration Boosts Users Over 50 Million

Layer-1 blockchain project Flow (FLOW) delivered impressive results in Q2 2025: Total Value Locked (TVL) increased by 46.3%, with a three-digit rise in smart contract deployments and PayPal PYUSD stablecoin supply, and over 50 million new users added through collaboration with Disney+ Pinnacle. However, despite the ecosystem data reaching historical highs, the FLOW spot price remains stuck in a sideways consolidation, with technical indicators suggesting a potential range-bound struggle ahead.

Total Value Locked and smart contracts both hit new highs

According to Messari's latest report, as of the end of the second quarter, Flow's Total Value Locked rose by 68 million USD to 79.98 million USD, with a quarterly growth rate of 46.3%, indicating that funds continue to flow into the DeFi ecosystem.

At the same time, the cumulative number of smart contracts deployed has reached 45,239 since October 2024, setting a new historical high for the network, reflecting a significant increase in developer activity.

Disney collaboration drives explosive user growth

The collaboration between Flow and Disney's Pinnacle Partnership combines digital collectibles with the Disney+ ecosystem, attracting over 50 million new users. This partnership not only expands Flow's brand influence but also injects a massive potential user base into its DeFi and NFT ecosystems.

stablecoin ecosystem and liquidity changes

PYUSD: As of June 30, the supply reached 26.2 million USD, accounting for 65.8% of the total supply of Flow stablecoin.

USDC: Market cap of 13.6 million USD, accounting for about 34%

As of the latest data, the total market capitalization of the FLOW stablecoin is $36.89 million, with PYUSD's share slightly dropping to 64.7%, indicating a slight decline in liquidity since the end of July.

FLOW Price Technical Analysis

(Source: Trading View)

Current price: $0.373

Resistance levels: 50-day EMA $0.381, 200-day EMA $0.431, July 21 high $0.458

Support levels: August 2 low $0.345, June 22 low $0.289

Technical Signal:

The price is range-bound between $0.345 and $0.458.

The 100-day and 200-day EMA are trending downwards, indicating a long-term bearish trend.

Stoch RSI is close to the oversold region. If a bullish crossover occurs, it may trigger a short-term rebound.

RSI is at 46, indicating a neutral to weak market sentiment.

Investor Sentiment and Market Outlook

(Source: Coinglass)

CoinGlass data shows that the long-to-short ratio has dropped from 52.17% to 50.8%, reflecting a rebound in investor risk appetite but still cautious.

If FLOW can effectively break through the 200-day EMA at $0.431, it is likely to challenge the $0.458 high; conversely, if it falls below $0.345, a pullback or extension may occur to $0.289.

Conclusion

Flow's second season has set historical highs in terms of Total Value Locked, smart contracts, and user growth, with its collaboration with Disney bringing strong incremental growth to its ecosystem. However, the Spot price still needs a technical breakthrough to confirm a trend reversal. In the short term, investors should pay attention to the key price levels of $0.431 and $0.345.