YFI has been among the worst-hit tokens in an ongoing meltdown that has wiped $65 billion from the cryptocurrency market.
As of 1223 GMT Tuesday, YFI/USD was trading about 47 percent lower from its all-time high at $44,003. The pair’s downside correction followed a major rally that brought it up by more than 2,500 percent until last week. So it appears, traders decided to lock their profits at local tops, causing the market to flip bearish later.
YFI is eyeing a $20K-retest in the coming sessions. Source: TradingView.com
Independent market analyst Michaël van de Poppe suggested that YFI could undergo further downside corrections, especially after rejecting a move above $26,000. He noted that the bearish state of the entire cryptocurrency market could leave YFI equally weak.
Meanwhile, Sam Bankman-Fried of FTX blamed the correction in the decentralized finance sector behind the recent fall in YFI. The CEO said that the token’s underlying value largely comes from “yield farming.” But with a