Yearn Finance (YFI) price dives 45% in hours– what happened?

2:49 pm
November 19, 2023

**Summary:**
Yearn Finance (YFI) has experienced a staggering 45% price plunge within a few hours, dropping below $9,000 on November 18. This sudden decline was attributed to allegations of market manipulation, leading to a negative sentiment in the market and a significant increase in liquidations. The YFI token, which had recently reached highs of $15,548, witnessed a quick reversal in fortunes. The governance token of Yearn Finance, YFI had been experiencing a resurgence in the crypto market, with its price surge linked to profit-taking.

**Yearn Finance (YFI) price dives 45% in hours– what happened?**

Yearn Finance (YFI) saw a drastic drop of more than 45% to below $9,000 on November 18, wiping out all the gains made the previous week. The decline occurred amid allegations of market manipulation, including claims made by the dYdX team. The YFI token’s price, which was around $9,260 on Sunday morning, plummeted from highs of $15,548 to lows of $8,918 on Saturday, erasing all the gains it had made in the past month (Coin Journal).

**What Led to the Nosedive in YFI Price?**

The steep decline in Yearn Finance’s price was driven by negative sentiment in the market and allegations of potential market manipulation. Significant amounts of YFI were deposited to exchanges, and on-chain data revealed a large sell-off by a whale as prices plummeted. The dYdX team also highlighted alleged market manipulation, stating that they had used $9 million from their v3 insurance fund to address liquidation gaps in the YFI market (Coin Journal). Antonio Juliano, the founder of dYdX, expressed that the steep market decline was a targeted attack against dYdX, involving market manipulation of the entire YFI market and they were investigating alongside several partners to bring transparency to the issue.

The FUD surrounding YFI’s price increase in liquidations, with a total of $4.55 million being liquidated in 24 hours, and longs accounting for over $3.07 million (Coin Journal).

**What is Yearn Finance?**

YFI is the governance token of Yearn Finance, a leading yield farming protocol in the decentralized finance (DeFi) ecosystem. The platform offers a suite of products including lending aggregation, yield generation, and insurance, integrated by top DeFi players such as Aave, dYdX, and Compound. The token’s price surge is likely to have been influenced by profit-taking and a resurgence in the overall crypto market. As of writing, YFI has reduced its weekly gains to just over 2%, with a 30-day performance down to +85% (Coin Journal).

**FAQs**

**Q: Is Yearn Finance (YFI) a good investment following the price plunge?**
A: The decision to invest in YFI or any cryptocurrency is subject to individual risk appetite and thorough market research. It is advisable to consult with a financial advisor before making any investment decisions.

**Q: Are there any regulatory measures being taken in response to the alleged market manipulation in the YFI market?**
A: Regulatory responses to market manipulation allegations in the YFI market have not been specified. It is crucial to monitor updates from regulatory authorities and the Yearn Finance team regarding this matter.

**Q: What measures has Yearn Finance taken to address the market manipulation claims?**
A: Yearn Finance has not publicly disclosed specific measures taken in response to the market manipulation claims. It is essential to stay updated with official announcements from Yearn Finance for any developments in this regard.


Share:

More in this category ...

7:27 pm April 30, 2024

Ripple companions with SBI Group and HashKey DX for XRPL answers in Japan

Featured image for “Ripple companions with SBI Group and HashKey DX for XRPL answers in Japan”
6:54 pm April 30, 2024

April sees $25M in exploits and scams, marking historic low ― Certik

Featured image for “April sees $25M in exploits and scams, marking historic low ― Certik”
5:21 pm April 30, 2024

MSTR, COIN, RIOT and different crypto shares down as Bitcoin dips

Featured image for “MSTR, COIN, RIOT and different crypto shares down as Bitcoin dips”
10:10 am April 30, 2024

EigenLayer publicizes token release and airdrop for the group

Featured image for “EigenLayer publicizes token release and airdrop for the group”
7:48 am April 30, 2024

VeloxCon 2024: Innovation in knowledge control

Featured image for “VeloxCon 2024: Innovation in knowledge control”
6:54 am April 30, 2024

Successful Beta Service release of SOMESING, ‘My Hand-Carry Studio Karaoke App’

Featured image for “Successful Beta Service release of SOMESING, ‘My Hand-Carry Studio Karaoke App’”
2:58 am April 30, 2024

Dogwifhat (WIF) large pump on Bybit after record reasons marketplace frenzy

Featured image for “Dogwifhat (WIF) large pump on Bybit after record reasons marketplace frenzy”
8:07 pm April 29, 2024

How fintech innovation is riding virtual transformation for communities around the globe  

Featured image for “How fintech innovation is riding virtual transformation for communities around the globe  ”
7:46 pm April 29, 2024

Wasabi Wallet developer bars U.S. customers amidst regulatory considerations

Featured image for “Wasabi Wallet developer bars U.S. customers amidst regulatory considerations”
6:56 pm April 29, 2024

Analyst Foresees Peak In Late 2025

Featured image for “Analyst Foresees Peak In Late 2025”
6:59 am April 29, 2024

Solo Bitcoin miner wins the three.125 BTC lottery, fixing legitimate block

Featured image for “Solo Bitcoin miner wins the three.125 BTC lottery, fixing legitimate block”
7:02 pm April 28, 2024

Ace Exchange Suspects Should Get 20-Year Prison Sentences: Prosecutors

Featured image for “Ace Exchange Suspects Should Get 20-Year Prison Sentences: Prosecutors”
7:04 am April 28, 2024

Google Cloud's Web3 portal release sparks debate in crypto trade

Featured image for “Google Cloud's Web3 portal release sparks debate in crypto trade”
7:08 pm April 27, 2024

Bitcoin Primed For $77,000 Surge

Featured image for “Bitcoin Primed For $77,000 Surge”
5:19 pm April 27, 2024

Bitbot’s twelfth presale level nears its finish after elevating $2.87 million

Featured image for “Bitbot’s twelfth presale level nears its finish after elevating $2.87 million”
10:07 am April 27, 2024

PANDA and MEW bullish momentum cool off: traders shift to new altcoin

Featured image for “PANDA and MEW bullish momentum cool off: traders shift to new altcoin”
9:51 am April 27, 2024

Commerce technique: Ecommerce is useless, lengthy are living ecommerce

Featured image for “Commerce technique: Ecommerce is useless, lengthy are living ecommerce”
7:06 am April 27, 2024

Republic First Bank closed by way of US regulators — crypto neighborhood reacts

Featured image for “Republic First Bank closed by way of US regulators — crypto neighborhood reacts”
2:55 am April 27, 2024

China’s former CBDC leader is beneath executive investigation

Featured image for “China’s former CBDC leader is beneath executive investigation”
10:13 pm April 26, 2024

Bigger isn’t all the time higher: How hybrid Computational Intelligence development permits smaller language fashions

Featured image for “Bigger isn’t all the time higher: How hybrid Computational Intelligence development permits smaller language fashions”
7:41 pm April 26, 2024

Pantera Capital buys extra Solana (SOL) from FTX

Featured image for “Pantera Capital buys extra Solana (SOL) from FTX”
7:08 pm April 26, 2024

Successful Beta Service release of SOMESING, ‘My Hand-Carry Studio Karaoke App’

Featured image for “Successful Beta Service release of SOMESING, ‘My Hand-Carry Studio Karaoke App’”
12:29 pm April 26, 2024

SEC sues Bitcoin miner Geosyn Mining for fraud; Bitbot presale nears $3M

Featured image for “SEC sues Bitcoin miner Geosyn Mining for fraud; Bitbot presale nears $3M”
10:34 am April 26, 2024

Business procedure reengineering (BPR) examples

Featured image for “Business procedure reengineering (BPR) examples”
7:10 am April 26, 2024

85% Of Altcoins In “Opportunity Zone,” Santiment Reveals

Featured image for “85% Of Altcoins In “Opportunity Zone,” Santiment Reveals”
5:17 am April 26, 2024

Sam Altman’s Worldcoin eyeing PayPal and OpenAI partnerships

Featured image for “Sam Altman’s Worldcoin eyeing PayPal and OpenAI partnerships”
10:55 pm April 25, 2024

Artificial Intelligence transforms the IT strengthen enjoy

Featured image for “Artificial Intelligence transforms the IT strengthen enjoy”
10:04 pm April 25, 2024

Franklin Templeton tokenizes $380M fund on Polygon and Stellar for P2P transfers

Featured image for “Franklin Templeton tokenizes $380M fund on Polygon and Stellar for P2P transfers”
7:13 pm April 25, 2024

Meta’s letting Xbox, Lenovo, and Asus construct new Quest metaverse {hardware}

Featured image for “Meta’s letting Xbox, Lenovo, and Asus construct new Quest metaverse {hardware}”
2:52 pm April 25, 2024

Shiba Inu (SHIB) unveils bold Shibarium plans as Kangamoon steals the display

Featured image for “Shiba Inu (SHIB) unveils bold Shibarium plans as Kangamoon steals the display”