The crypto market has been in flux over the past two weeks, with occasional ups and downs. However, the past six days have been very fruitful for the market as not only has the total market capitalization reached $1.074 trillion, but altcoins like aspire.finance [YFI] also benefited from the same.
Happy hours for Yearn.finance holders
The altcoin had suffered to overcome the downtrend it started experiencing in May, but the gradual tilt was not significant enough to pull YFI out of bear dominance. However, that changed this week after YFI took advantage of broader market signals and recouped not only the losses incurred in June, but also some of its May pullback.
The 78.49% rally YFI has witnessed in recent days has taken the altcoin above the $10,000 mark to trade at $11,003, the highest price level it has noted since May of this year.
Yearn.finance price action | Source: TradingView – AMBCrypto
This surprised retail investors as well as whales, and the latter wasted no time in making their hype obvious.
Fluctuating from time to time, the total whale trading volume averaged at a low of $4-6 million. This week, however, the same jumped over 392% to $24 million as of July 30.
Yearn.finance whale transactions | Source: In the block – AMBCrypto
Proceed with caution
Although Santiment’s analysis indicates that the Whales acted with the intent to make a profit, the truth of the matter is that despite the displacement of millions from YFI, neither the Whales nor retail investors sold YFI over the past few weeks as supply on crypto exchanges is currently seeing an accumulation, which began a month ago.
Yearn.finance offer on stock exchanges | Source: Santiment – AMBCrypto
But $12,000 or $13,000 could be the upper limit for the altcoin as not only is YFI vulnerable to high volatility and price swings, but also YFI is now showing signs of a trend reversal as the cryptocurrency is currently overbought in the market.
The Relative Strength Index (RSI) indicates the same, and this could be a concern for YFI holders who entered out of FOMO as they could lose their profits very soon.