2022 seems to be the year of Yearn.Finance (YFI)
YFI rallies quickly to recover from December losses; in fact, the rally was very strong, outperforming some of the big altcoins.
YFI leads ETH and SOL
YFI stands out for having grown more than 43.46% in the last 72 hours and continues to grow rapidly in that direction. In contrast, upper altcoin ETH fell 3.38% and SOL fell -1.57% at press time.
YFI price promotion | Source: TradingView
This is largely due to Yearn’s recent proposal to change the token economy. Most of the community decisions were made by xYFI.
The proposal envisions the creation of a YFI betting repository that will house surplus government revenues. In addition, Yearn began to actively buy YFI on the open market through a buyback program.
At the time of writing, Yearn has acquired over 282.4 YFIs for an average of $ 26,600 totaling $ 7.5 million. Well-known fixed-value analyst Adam Cochran, with over $ 5.5 billion, even singled out YFI as his top pick for next year, claiming that 2022 would be the year of YFI.
It looks like Adam Cochran isn’t the only one who thinks so. Over the past month, the number of YFI addresses with credit on the network has increased significantly. While the broader market influenced the price movement of this altcoin, it was unable to contain it for long.
The average balance has decreased in 30 days but has increased by $ 4,000 in the last 24 hours and is currently still $ 20,500.
Average YFI Balance | Source: In the block
The rise in price has also led to more short liquidations than long positions in the past 8 months, as volume has increased 480% in the past 48 hours.
YFI Liquidation Amount | Source: Coinlyze
In addition, the steady rise in the number of HODL members since July shows that investors themselves are becoming more serious. The increase in the number of long-term holders (LTH) from 1.7% to 15% is a positive sign that could help YFI to hold the price during the recent downtrend.
Distribution of YFI. Holders | Source: In the block