While the entire market struggled and coins crashed, only YFI increased by 16% in just two days of trading as we are reading more in the latest altcoin news today.
The decentralized finance token hit an intraday high of $25,858 in the early trading session in London and the weekly low for the YFI/USD exchange rate was as low as $17,605 according to the latest data that we have today. The YFI/USD pair showed strong signs of recovery after the yearn.finance platform announced the merger with Pickle Finance and marked a one-of-a-kind partnership between the two decentralized finance projects. Pickle Finance is also a yield-farming project which strives to maintain the pegs of the stablecoins.
Andre Cronje is staking over $800k worth of $SUSHI
— LilMoonLambo 🚀 (@LilMoonLambo) November 27, 2020
Two days after the merger, Yearn Finance announced another partnership with Cream which is a decentralized lending protocol that runs on the Ethereum blockchain. One day later, rumors started circulating that the YFI founder Andre Cronje is looking to merge SushiSwap. The DEX’s native token SUSHI increased by 17 percent after the news but then, a few skeptics criticized Cronje for unilaterally signing a new partnership without calling for a governance vote among YFI holders.
Most of the Yearn Finance community ignored the heavy criticism as they showed strong support for the growing YFI ecosystem. Some even called Yearn Finance as the first emerging “conglomerate of DeFi” This also explains why only YFI increased and made a comeback in a week. Tom Shaughnessy who is the co-founder of Delphi Digital said:
“Acquiring” full projects (for 0 YFI) instead of building to drive new functionality. While LT value cap for acquired tokens may currently be TBD, acquiring their devs/projects/liquidity is great for YFI long term.”
YFI appeared in a short-term corrective trend after rallying 338 percent from the November levels of $7,015. In the wake of the mergers, the DeFi token expected to resume the price increase again and to provide support above certain price floors. The first area of $14,729 and $18,761 has a historical significance of both resistance and support zones so if YFI/USD breaks below the range, it risks dismantling the entire upside movement and the targeted range of $12,000. Thanks to the fundamental outlook, YFI could still have enough fuel to locate the support above $18,761.
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