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Thursday, March 4, 2021

Crypto analysts predict a further rise of Yearn.Finance (YFI) to $50,000

  • Analysts are predicting further growth in YFI with the anticipated growth in the DeFi sector.
  • Yearn.Finance products such as Yinsure Finance and yVaults are also contributing factors to the growth of YFI.
  • YFI is also very busy in the market, which is seen by the launch of its new product called StableCredit USD.

During the weekend, the Yearn.Finance (YFI) was valued at $43,966, which represents an all-time high of the native token.

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And there may be still more room for growth as analysts think the growth in the DeFi sector may further spur the YFI growth even further to $50,000 in the short term.

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This growth is coming when the crypto market is recovering from a 17.5% correction, which dipped Bitcoin’s price to $9,800 on some exchanges.

But as the price of Bitcoin is recovering slowly, YFI has seen a 100% increase in price since last week, which is why several analysts have predicted a higher growth of up to $50,000.

Why YFI is seeing recent growth

There are several factors attributable to the recent surge of YFI, which includes the increased popularity of DeFi liquidity pools, yield farming, new products, and technicals. These have all fueled the recent growth of YFI, as suggested by some expert analysts.

Before the surge, the price of YFI was hovering around $20,000, which was relatively stable, and close to the $1,500 macro support level. After staying in that position for a while, YFI began its upsurge.

Yearn.finance is also very busy in the market, which is seen by the launch of its new product called StableCredit USD.  Economics Design researcher Lisa JY stated that the newly launched product is a collateral system that will utilize Aave.

 “Using MakerDAO’s model of multi-collateral in the system, you can put whatever asset you want as collateral,” she said.

Lisa also revealed that it is possible to borrow about 75% of the value of the collateral the user-provided.

YFI existing products are also doing well

Another contributing factor for the optimism surrounding YFI is the high expectations of the existing products of Yearn.Finance, such as Yinsure Finance and yVaults.

Some technical analysts believe that when YFI passed the $34,650 mark, it already set up a new bullish market structure.

One trader ‘Benjamin Blunts’ explained that YFI is likely going to get close to the $50,000 mark. He made this statement before YFI moved up to $40,000.

A full-time trader at Amsterdam stock exchange Michael van de Poppe said there is a high possibility that YFI could reach $75,000 value in the coming months ahead, based on the current performance of the token. As with some other analyst, Poppe also established that YFI could reach a $50,000 resistance area before the run-up to its $43,966 value.

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