Yearn.finance’s YFI governance token has seen a strong rebound over the past 24 hours. Its price had previously been facing an unrelenting selloff that drove it down towards $13,000, but it has since formed a “v-shaped” recovery.
The intensity of the rally seen over the past day has come about due to news of a major crypto fund reportedly investing $5 million into YFI, acquiring this position over the past few days.
That being said, one investor is noting that this position on its own doesn’t provide much insight into their conviction on the ecosystem’s outlook, as it represents only a small portion of their overall AUM.
The same investor is now noting that YFI is caught within a vicious cycle pushing its value down.
He notes that breaking this cycle is imperative for Yearn.finance yields to rebound and for YFI’s price to incur another strong uptrend.
Yearn.finance (YFI) Garners Large Investment from Polychain
Earlier today, investors in YFI