Suddenly soared to a maximum of 93,000 US dollars, surpassing the price of Bitcoin, and the surge in cryptocurrency continues

On the morning of May 12, the Yearn.finance token YFI, a Dapp project deployed on the Ethereum blockchain, violently rose to $93,435.53, an increase of nearly 60% in the past three days, becoming the currency with the highest unit price among cryptocurrencies. The amount can reach up to $38,000.

As of the publication, the price of Ethereum has also reached 4,200 US dollars. The current market value of Ethereum exceeds 500 billion US dollars, surpassing JP Morgan Chase and Visa all the way. People say that they can't understand it, making investors seem to see flowers in a fog.

There are different logics behind the soaring prices of different currencies, and their impact on the encryption market is also different.

YFI skyrockets beyond Bitcoin

Since its launch, YFI has attracted much attention, and it is well known to the public that its price exceeds Bitcoin. In March 2021, Grayscale will also add YFI to its list of encrypted trust assets.

As of the publication, YFI has now fallen back to $83,081.93 per coin, an increase of 24% in the past 24 hours; Bitcoin is now at $57,205 per coin, an increase of 2.98% in the past 24 hours.

Bitcoin Whale Wallet Suddenly Transfers $34M in Crypto for Years: A crypto whale who hasn’t moved his Bitcoin stash in nearly nine years has just shipped roughly $34 million worth of BTC to another wallet, according to Whale Alert. The wallet first received 900 bitcoins on August 16, 2012 at 4:40 PM. Bitcoincharts shows that BTC was trading around $13.50 at the time, meaning that when the wallet received 900 bitcoins, it was worth around $12,150. Those 900 bitcoins are currently worth $33,794,136, an increase of 278,041%. (Dailyhodl)[2021/6/4 23:11:31]

"Yearn Finance is the leading aggregator of DeFi applications. It provides users with a high-yield fund pool through precise matching of liquidity, and automatically optimizes investment portfolios. Its governance token YFI has been attracting users' attention and holdings. At present, The recent skyrocketing may be due to the background of the bull market. The locked-up volume of the project continued to grow. As of the publication, it has grown to 4.347 billion U.S. dollars, and the optimistic effect has expanded. Especially on May 10, after the price of YFI surpassed BTC again, this bullish consensus was obtained Further strengthening." Pete, a financial researcher at PayPal, told our reporter.

Analysis | The market sentiment has picked up slightly in the future or there will be sudden fluctuations in the future: According to Bgain Digital investment research data: as of 18:00 on December 17th, Beijing time, the BTC price was 6881.9 US dollars, and the BTC price fell by 2.49% within 24 hours. The BTC standard enhancement index of quantitative trading rose slightly, of which the Bgain trading index rose by 1.20%, the CTA index rose by 1.78%, and the hedging trading index rose by 0.21%. As of 18:00, the long-short ratio of OKEX elite users is 63%/34%, the long-short ratio of Huobi elite users is 50%/50%, the long-short margin ratio of Bitfinex is 85%/15%, and the long-short position of BitMEX The proportion is 43%/57%, and the market sentiment is relatively bearish. The price of the currency plummeted 4% in the early morning of this morning, once approaching 6,800 points, but quickly retreated to around 6,900 points. It has picked up slightly, and there may continue to be sudden fluctuations in the future. [2019/12/17]

According to data from OKLink, the holdings of the Ethereum ETF launched by Purpose have exceeded 33,000 ETH, and the market value of Ethereum-related securities products has reached 5.401 billion US dollars.

Analysis | BitOasis suddenly delisted XMR and ZEC or was under regulatory pressure: The Merkle issued an article on "BitOasis delisted XMR and ZEC without notifying users", saying that the exchange is asking some very personal questions: They hope User explains source of funds, purpose of purchasing XMR and ZEC, and external withdrawals. Additionally, BitOasis wants users to inform who the beneficiaries are, or why they received the funds. BitOasis also wanted to know if anyone had purchased XMR or ZEC on behalf of a third party. While most offline cryptocurrencies can be exchanged or withdrawn within weeks, BitOasis forces users to convert account balances by May 31, less than a week to do so. According to the analysis of the article, regulatory pressure may be the reason for the delisting of these two cryptocurrencies. About two weeks ago, BitOasis was seeking a special license in the UAE. And the delisting of XMR and ZEC appears to be part of the requirements for obtaining this license. Since an anonymous form of money is a risk to the existing financial system, it is speculated that this is possible. [2019/5/26]

Eddie, a senior researcher at Okey Cloud Chain, pointed out: "Ethereum itself has recently been sought after by overseas institutions, and the strength of Ethereum will also bring positive expectations to top DeFi projects such as YFI. The new superposition of Ethereum on its own products is strong. Perhaps it is the reason behind this round of YFI’s strength.”

News | Zhonghui blockchain suddenly shut down more than one billion yuan and disappeared: According to Sina Finance, the Huizhong blockchain business platform includes seven blockchain projects in operation, including "Milu" authorized by Xiaomi Technology. The victims are all over the country, but from the beginning to the end, no one in charge of the project team made a public appearance, and it is difficult to find the actual office address. According to statistics, the overall amount involved is about one billion yuan. [2018/10/17]

Eddie emphasized to our reporter that YFI, as the number one player in the financial management agreement in the DeFi ecology on Ethereum, is one of the vanes of the entire DeFi ecology in a sense. The core developers of YFI have recently launched a new project to split YFI tokens. This project has been recognized and favored by leading players in the DeFi circle, including the founder of Sushiswap. This may be the main reason for YFI’s positive news recently. reason.

The skyrocketing price of animal tokens will also plummet

It can be said that Dogecoin became popular outside the circle, mainly due to the promotion of Musk. One word from Musk can make Dogecoin soar and plummet. Musk said on the show that Dogecoin is a scam, and it immediately plummeted; Musk said that he would bring Dogecoin to the moon, and Dogecoin would rise sharply; Musk also recently launched whether to support the use of Dogecoin to buy Tetra Tesla's vote, as of now, the voting results show that supporters account for more than 70%.

BCH suddenly soared by 9.36% and the current price is reported at $2771: Huobi Pro data today shows that compared with other digital currencies, the price trend is relatively flat. At 9:15 this evening, the price of BCH was reported at $2771.29, an increase of 8.91%, and the current price was reported at $2752.44. [2018/1/13]

Pete introduced that the phenomenon of "Crazy Animal City" has recently appeared in the crypto market. Dogecoin is the leading pioneer, and the increase has reached nearly 10 times in the past month. Various animal coins such as Shiba Inu (SHIB), Akita (AKITA) ), Piggy Coin (PIGGY), etc. have started to pull up the model. This wave of altcoin "irrational exuberance" is partly due to the capital spillover effect in the context of the bull market and the rise of the community economy.

Eddie said: "Dogecoin actually experienced several years of sideways trading before it met Musk and started the rising mode. The recent madness of various animal coins may mean that investors who missed Dogecoin and the institutions behind them Starting from scratch, trying to replicate the success of Dogecoin.”

Taking the recently popular Shiba Inu (SHIBA INU) as an example, through the OKLink blockchain browser, we can see that on July 31 last year, the smart contract of Shiba Inu was created, and since then it has been trading on the chain There are actually very few activities. Until January 30 this year, the trading activity of SHIBA tokens began to increase significantly for the first time. This time point is also the time when Musk called for Dogecoin for the first time this year. Since then, SHIBA’s several on-chain transaction activity peaks are also highly consistent with the skyrocketing time node of Dogecoin, Eddie further explained to our reporter.

Pete pointed out that from the point of view of these animal coins themselves, this surge has little to do with technological innovation, and more comes from the marketing promotion of community traffic. Take Dogecoin as an example. Dogecoin has become the "mascot" of American tip culture and charity culture. People use Dogecoin as an incentive to reward high-quality content. After the WSB battle against Wall Street, decentralized and anti-elite community forces began to turn to the people-friendly and low-priced Dogecoin. Public figures such as Musk and organizations such as Wall Street Bets and SatoshiStreetBets contributed to the surge in this wave of Dogecoin effect.

Regarding the market outlook of these animal tokens, Pete believes that from the perspective of the market as a whole, the cryptocurrency bull market has developed so far. After the market value of BTC exceeds one trillion U.S. dollars, the volume has become very large. The recent decreasing trading volume also indicates that funds have begun to turn. Other low-priced coins are trying to pull up to obtain excess returns that outperform BTC. At this time, the hot spot of public opinion fermentation is concentrated on animal coins, which just provides a hype target for these funds. Of course, due to the rapid rise and fall of animal coins and greater volatility, prudent investors mainly wait and see. After all, the surge driven by strong emotions is often accompanied by a rapid plunge after the ebb of enthusiasm.

Eddie believes that the market's enthusiasm for animal coins is more of a short-term emotional accumulation, and even has some flavors of the previous "Game Station incident". Although the official website of Shiba Inucoin also stated that it will make efforts in DeFi, NFT and other fields in the future, the fundamentals of the project itself are relatively weak. If retail investors invest in such assets, they need to have a psychological expectation of skyrocketing and plummeting.

Veteran altcoin surge signals mid-term bull run

Ethereum, EOS, ETC, and BCH have broken new highs one after another, and the proportion of Bitcoin has also declined as a result. The market value of BTC has dropped from 69% to 44%, and the market value has continued to decline.

Eddie believes that the collective uptrend of established altcoins may mean that the cyclical bull market in the cryptocurrency market has entered the mid-term stage. At this stage, the market value of Bitcoin will decrease as a proportion of the market value of the entire cryptocurrency market, and Ethereum and established altcoins will receive funds overflowing from Bitcoin, thus starting a rising market. A few altcoins will even hit new highs, and more altcoins may return to the original point after being pulled up and be replaced by new projects. This alternation of new and old projects occurs in every bull-bear shuffle of cryptocurrencies.

And Pete pointed out that the surge of old altcoins may be due to the fact that BTC has failed to hit $60,000 several times, and the market’s profit-selling sentiment has spread. For BTC, which has a very large market value, funds obviously cannot push up profits as easily as before. . Funds began to turn to other old-brand altcoins with lower prices but a certain consensus, which gave them a basis for supplementary growth; the rise of old-brand altcoins, in addition to the increased exposure to capital preferences, also has its own fundamentals and news. reason. For example, ETC has been boosted by the Twitter of DCG boss Barry Silbert, and also benefited from the early fermentation of ETH2.0, which has continued to rise recently. BCH was benefited by the promotion of the side chain project SmartBCH, and its market value returned to the top ten.

The market funds have shifted from Bitcoin to other favorable old altcoins, and the market has ushered in the Altcoin Season. The performance of this plate rotation is similar to that in the last bull market.

However, Pete warned that the current market as a whole is still in the bull market stage, but risks also need to be paid attention to. The leading BTC has repeatedly failed to hit $60,000 recently, and is in a wide range of adjustments; the linkage between BTC and ETH has weakened, and ETH has remained relatively strong, hitting new highs, and has now exceeded $4,000. Since the beginning of this year, the cumulative income of ETH has surpassed that of BTC, which may be due to the transfer of funds. It is also worth mentioning that, in addition to the divergence of mainstream coins promoted by institutional users, public figures, opinion leaders, and the community have also begun to criticize Bitcoin. The currency price has a positive impact, including DCG boss Barry Silbert's push for ETC, Tesla founder Musk's call for Dogecoin, etc., all of which have a boost to the currency price.

Tags：

XLM