Will YFI hit 1 BTC today?

Will YFI hit 1 BTC today?

By Cryptofab | Cointune | 21 Jan 2021


Yearn Finance has lost some ground in favor of the other DeFi protocols in the last few weeks, e.g. Alpha Homora which is now also around $300m TVL.

However, its upside potential remain huge, since its TVL has not been affected by the latest BTC crash and YFI token found a support around $26k to get back above $30k. Furthermore, Yearn Finance was audited more than most of the other DeFi protocols and has acquired an excellent reliability background:

  • MixBytes - November 5, 2020
  • Quantstamp - July 24, 2020
  • Certik - February 9, 2020
  • CryptoManiacs - 2020

The current voting around the inflation proposal might result in a slight increase of the total supply in the worst case, although it does not look likely right now. However, even in this worst case, Yearn Finance would have at least attracted more attention. Curve DAO looks more attractive currently, probably due to the fact that Alpha Homora is offering pretty good rewards for the ETH/CRV pair. These rewards for ETH/CRV look so high that they can only decrease, what will bring back  DeFi hodlers

from CRV to YFI. Furthermore, BTC has dropped due to massive sales of BTC resulting in an increase of stable coin market caps. As Yearn Finance offers more than 10% reward on USDC, USDT and DAI, its TVL and token value will likely grow.

In summary, an increase of YFI value is likely in the next few days. The next step is to go back above 1 BTC, and then to move towards $50k.

More than that, the market is moving progressively from classical coins like BTC or LTC towards DeFi tokens and Automated Money Makers. While we are all still wondering whether or not BTC is a real currency, we can already be sure that YFI is a real asset allowing to get pretty good yield farming rewards.

Among the other DeFi tokens, Synthetix SNX also got a huge potential. Although it is currently pausing, this token will also grow again soon.

Please click here for more information about SNX.

 


Cryptofab
Cryptofab

I do not want to change the world, but I can contribute to it.


Cointune
Cointune

Crypto, DeFi and passive income.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.