Yearn.Finance (YFI) has been in the news in recent weeks, driving the latest price breakout. After news of a proposed shift in tokenomics hit the market, the token drew a lot of attention. According to the proposal, a portion of the YFI purchased by the project’s treasury should be awarded as prizes to token holders who actively participate in the protocol’s governance.
Although the prices of the tokens began to plummet in November 2021, and investors have been waiting for this rally, which began in the third week of December.
As 100 percent of the yield aggregator’s total circulating supply is in the market, the total value locked by the yield aggregator rises to $5.6 billion.
Yearn.Finance reported on December 16 that it has purchased approximately $ 7.5 million in YFI tokens on the open market for an average price of $ 26,651 per unit. They also revealed that he has $45 million in cash in his treasury, which he intends to use to continue his YFI buying spree.
YFI Price Action
During the last 24 hours, Yearn Finance has been working to recover. The coin took a significant plunge in mid-December last year, which might have signaled the conclusion of the downturn. YFI has risen roughly 48 percent in the last month.
yearn.finance price is well-positioned between support and resistance. With support set around $35902.08 and resistance at $39395.15, has some room to run before facing resistance.
Because of the increased buyer support, the rise is currently solid and showing signs of holding. In this instance, YFI Price may try to break through the next resistance level at $42,000. The next goal will be $45,000 from here, although such highs are more likely to be accomplished with a mix of buyer and market support.
On the downside, buyer and market support may be weak, putting an end to the present rise. In this instance, The Defi token might aim for $38,000 as a lower support level. As buyers liquidate their holdings, such lows will be driven by selling pressure.
Source: https://coinpedia.org/defi/yearn-finance-showing-signs-of-growth-to-kick-off-2022/