The rise of bitcoin and Ethereum helped DeFi protocol tokens overcome bearish pressure and start recovering.
On November 4 and 5, DeFi protocol tokens fell by tens of percent. Yearn.finance (YFI) fell more than 20% over the day. Many investors on Twitter, the most popular social network among crypto investors, announced that they are transferring assets to bitcoin and other “safer” investments, CryptoSlate reports.
But by the weekend, the situation changed dramatically. Tokens of key DeFi protocols, such as Uniswap (UNI), Aave (AAVE), Compound (COMP), Synthetix Network Token (SNX), Yearn.finance (YFI), showed a daily growth of 10-30%. This coincided with a sharp jump of bitcoin over $15,000.
Wall Street trading firm Jump Trading owns at least $75 million worth of cryptocurrency, including millions of dollars in Compound, KEEP, Keep Network’s HXRO, Numeraire (NMR), Orchid Protocol (OXT), and MakerDAO’s MKR, revealed market research firm Nansen. During the last week alone, the firm spent $5 million to buy COMP.
According to another analyst firm Santiment, “whales of many respective $ETH-based #altcoins have added to their non-exchange bags. $ETH, $LINK, $REN, $ELF, $KNC, & $ZRX are among those recently hitting one-year highs.”