Yearn Finance Weekly Analysis: What’s causing huge volatility for YFI token?

yearn finance weekly analysis is a DeFi yield farming aggregator service that uses automation to enable investors to maximize profits. The platform consolidates liquidity from numerous yield-generating protocols and then allocates it across these protocols based on real-time conditions, allowing investors to earn the highest possible yield with the least amount of risk. also provides a suite of tools for managing one’s assets, including a risk analysis tool that allows users to assess the riskiness of their portfolios and an automated rebalancing tool that keeps portfolios optimized for yield. By providing easy access to the most profitable yield-generating opportunities and automating the management of assets, is lowering the barrier to entry for DeFi investing and making it easier for everyone to earn high yields on their crypto holdings.

Yearn Finance Price Analysis 

OhJBqhcxlVAD2w7QihU3 p9Ix2Z7ekNM sbcj6UIoWIZcpbQ AWrsbzggg4CeQAWWsrlL6wOMuJtX

The weekly technical chart of Yearn Finance reflects on the bullish momentum developed by the DeFi protocol since the past week. The price level was facing strong resistance around $6,800 since the starting of the month. The bullish momentum started on December 4th and had a peak around $7,500 before the profit booking momentum got resumed. The CMP of Yearn Finance is around $7,2000 with the market capitalization of $264 million and volume traded of $30 million in the past 24-hour period. But what caused a sudden bullish spike for YFI token in the midst of a turmoil in the overall market conditions? 

AD3mLMbs6yiSA B 3jFsawcgPaRzWCuMXFzxds 9SLAP8AyUlff0Agr4nzKFxRSSj0Cao7bcL1BZoLOOIfS JgNTraI BeIyZKbaK9gSvpo4jntjAX erR3swEseThy 1kIhI4vRnA3Czp0H31riSNPUM3JS

It can be suspected that high rewards on st-yCRV tokens on Yearn Finance might have created a positive sentiment for its native token. Considering the current market conditions, APY of 72.82% is highly appealing for crypto investors which could also be justified with total assets amounting to nearly $9.3 million for the particular pool 

Yearn Finance Technical Analysis 

Rm 9yCE3mXoI2FGOsu4wiOJ25lTz z2sTbf3hiZj0QCVekdPAgMshuBFK 8pPau6x8iKfXjk71jeZHLGxHm5VYvO giy mPHq0MVr 3lnrPzIHKH3Xp 5qiXoPLdZZGk3aNEJ6uLryobRTM3nJOMvKE9 VIcqiHvkiTeks2k5SUf9ngNR0N 5suERA98wg

Looking at the technical chart of Yearn Finance, it was facing stringent resistance above the 0.786 FIB level. Gradually, the price level climbed above and tested the 0.618 FIB level on multiple occasions but resulted in a dip below the level. However, the dip might had accumulated new buys which commenced the bullish rally for the DeFi protoco which resulted in a breakout above the 0.236 FIB level leading to a daily gain of nearly 25% yesterday. YFI token did spend some time above the level before the profit booking momentum kicked. 

Considering the current trend, YFI token is potentially forming another rising channel pattern after receiving support from 0.5 FIB level and 0.382 FIB level simultaneously. The RSI level is also showcasing negative nature after almost having a breakout to the overbought region. The level is currently residing around 47.90 and needs to sustain above 50 to commence another bullish move. The resistance levels can be placed at $7,500 and $8,500. If the profit booking momentum prevailed for a longer duration, YFI token is have support at $7,000 and $6,500, respectively. 

    Get Daily Crypto Insights

    Stay ahead of the crypto game with Tradedog's exclusive research
    subscribe now for valuable insights and expert analysis

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    Related Posts