What’s behind Curve Finance’s mass token exodus?

Posted: September 24, 2023

• 3.18 million Curve tokens were moved from the Binance exchange by a new wallet.
• CRV spiked by over 10% for the first time in over seven months.

Curve Finance [CRV] recently experienced a substantial token movement when millions of CRV tokens were transferred from a particular wallet. What was the nature of this transfer, and what implications might it hold for the price trend CRV?

Read Curve Finance’s [CRV] Price Prediction 2023-24

Curve Finance experiences massive exchange withdrawal

In a recent post by Lookonchain, it was noted that a new wallet, created more than 24 hours ago, initiated a transfer of 3.18 million Curve Finance tokens from Binance [BNB]. As of press time, these tokens were valued at over $1.4 million.

Additionally, data from Debank revealed that the tokens were not simply withdrawn but were instead transferred to another decentralized finance (DeFi) platform called Convex.

The significance of this move to Convex suggested that the wallet was likely seeking to capitalize on the enhanced rewards offered by the platform. Moreover, it eliminated the possibility of an immediate sell-off of the tokens.

CRV sees record spike

On 22 September, Curve Finance experienced a noteworthy surge in its price when examining the daily timeframe chart. The chart displayed a remarkable price increase of over 10%, pushing the value of CRV above $0.49.

This surge of over 10% represented the most significant price increase observed in CRV over the past seven months. 

Source: TradingView

However, as of the time of writing, the price had retraced by slightly over 2.5% and was trading at approximately $0.47. Nevertheless, CRV was still exhibiting a strong bullish trend, as evidenced by its Relative Strength Index (RSI).

In addition, data from CoinMarketCap revealed a notable increase in trading volume within the last 24 hours. The volume had surged by more than 90% over the past day until press time.

How much are 1,10,100 CRVs worth today?

TVL trend remains the same despite the price surge

Following its security breach in July, Curve Finance experienced a substantial decrease in Total Value Locked (TVL). Regrettably, the TVL has not yet managed to recover to its pre-hack levels as of press time.

Moreover, despite the recent surge in trading volume and price, there has been no significant impact on its overall trend, with normal fluctuations still observable. The TVL was measured at over 2.1 billion at the time of this writing, per DefiLlama.