Yearn.finance Contrary to popular expectations, it almost melted, losing 45% of its value within a few hours. The price dropped to $8,300 after the collapse at $14,500. Although the price experienced a brief recovery from those levels, it is trading below $10,000. When the decline in question occurred quite sharply in a short time, many speculations spread.
As Koinfinans.com reported, the YFI price increased by more than 160% in November, reaching $15,591. Its market value decreased from 525 million dollars to 275 million dollars in a short time.
Claims circulating on social media believe this is an apparent exit scam by insiders, as almost half of the entire supply for Yearn.finance is held in 10 wallets. It is important to note that these include wallet addresses of crypto exchanges.
According to Coinglass data, YFI has liquidated more than $5 million in the last 24 hours. YFI contract positions were once worth as much as $162 million. Currently, YFI positions on major platforms have fallen. Additionally, YFI open interest (OI) has increased significantly, indicating that investors are taking short positions on YFI.
Major altcoins remain under pressure amid the broader market sell-off, with Bitcoin regaining dominance. Market cap dropped by almost $25 billion in 2 days. Analysts expect further pullbacks before there is another capital inflow into altcoins.
ETH, XRP, SOL, ADA and other major altcoins are down nearly 3% in the last 24 hours. DeFi tokens are taking a hit, driving global market cap even lower.