YFI - Woof Woof
With all the craze surrounding Dog-related memecoins, it was only about time that DeFi protocols got in on the fun.
a coin pegged to YFI that's so low in price, any degen, tiktoker , new money can easily ape in and feel like there's a huge amount of upside, after all..who cares about marketcap anymore?
At the time of this post, 1 Woofy = $0.074044 USD.
To understand more of what Woofy is, check out Twitter user BrotherMouzone's tweet here.
Now, arbitrageurs would be much delighted to learn of this and... while the arbitrage opportunity exist.. it's probably not profitable at this stage, given that transactions fees on Ethereum are sky high, any arb is likely to be eroded by it.
Let's take a quick look at how what happened following the rumours/launch.
Great to see the price momentum building up over the past few months (higher highs, higher lows) to finally breaking out (with huge volume) of the previous ATH resistance of $55,000s and going straight to $82,000s before BTC decided to ruin the party for everyone.
YFI is still above the previous ATH and is currently trading in the $74,000s USD.
It didn't matter that YFI's TVL was growing at a parabolic rate,
All it took was a Woof.
YFI's MVRV 30D spiked to way into the danger zone and as observed in the past, these levels tend to see MVRV 30D holders take profit.
Lo and behold, price corrected, it didn't help that BTC was dumping either. While MVRV 30D had a cool down, it's still fairly close to entering the dangerzone again, and likely to see more downside if BTC continues moving downwards.
YFI's social volume spiked to the highest levels in 6 months as the price rallied, this behavior usually indicates that the crowd is in and it won't be long before a local top is in.
Daily Active Deposits (DAD)
Daily Active Deposits saw large spikes as price rocketed and people taking profits.
Exchange inflow too spiked, indicating that not only were there more people looking to sell, there was also large amount of YFI to be sold. Naturally, this sell pressure was too much for buyers to take.