Yearn.Finance Price Up By 4.96% – Time to Buy YFI Coin?
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Yearn.Finance is famous for being the first decentralised finance (DeFi) platform that popularised the yield farming practice.
However, the asset has gone under-reported in recent weeks and found it hard to break above the $33,000 resistance level for the past two months.
But Yearn.Finance appears to be gaining a modest increase, indicating an ideal time to buy YFI. This article explores the technical and fundamental performance of the digital token.
YFI: Breaking Above The $35K Resistance Mark
Initially based on the Ethereum blockchain, Yearn.Finance once commanded the global crypto attention after it shot to a remarkable value of $93,000 in the strong bullish waves which swept the first half of 2021. This briefly made it the most valuable digital asset by price.
However, a series of market consolidations saw it lose one-third of its value in the crypto winter season, with its governance token YFI pegged to the $30,000 mark ever since.
With cryptocurrencies now gaming attention from celebrities and popular public figures, Yearn.Finance seems to have broken through the $30,000 ice.
At press time, governance token YFI is trading at $35,830, and up 4.96% in the last 24 hours. Weekly gains stand at 5.38%, showing a warming interest in the DeFi token. With a market dominance of 0.05% due to its highly limited token cap figure of only 36,000 YFIs, the digital asset is up 5.33% with a current market valuation of $1.3 billion.
The 24-hour trading volume is at a rocket high, and YFI is up 77.03%, with over $192 million currently being traded. Yearn.Finance has had to battle a flurry of yield farming protocols offering similar services, and this has largely impacted its growth, with only a 10% increase recorded in the last two months.
However, strategic integrations in other smart contracts-enabling protocols would likely pay dividends making this an ideal time to buy YFI for a bargain.
YFI Technical And Fundamental Analysis
Yearn.Finance has seen a spike in trading volume, soaring above the 20-day moving average (MA) support price of $34,819.52. However, it underperforms in the longer-term 200-day MA indicator, which is below the price of $37,789.26.
This is expected to change due to a growing focus on DeFi-facilitating protocols and keen interest by investors in the broader crypto market.
The 14-day relative strength index (RSI) points that YFI is rising steadily in the underbought region as it is pegged at 55.95. The moving average convergence and divergence (MACD) show neutral as both buy and sell signals vie for control.
Although some investors may consider YFI performance sub-par given the exponential growth of similar protocols, recent strategic moves by the Yearn.Finance team indicate that YFI is set for major uptrends.
In a recent release, Yearn.Finance announced its integration with popular Ethereum rival Fantom. According to the report, growing interests in yield farming services have increased by 1000% in the past year, with more DeFi users looking for a cleaner, cheaper, and faster protocol to access these services.
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