A few hours ago, the DeFi Yearn.finance (YFI) token reached a new high, this time of $ 27,241, far exceeding the highest price that Bitcoin ever touched.
Everything indicates that YFI’s bullish resumption was driven by the inclusion of the token in the Aave market protocol, and speculation about a possible association with FTX.
Aave is the largest DeFi protocol currently, with more than $ 1.52 billion locked. FTX is one of the leading cryptocurrency derivatives exchanges.
Recently, we commented that it was most likely that the price of YFI will end up exceeding that of Bitcoin; And so it happened. And is that with the strong momentum Bullish product of an increasing demand for the token, and only 30,000 units available, it was difficult to think about a possible fall in its price.
But what about the current situation? Won’t it stop climbing? Here is an analysis of the graph of its price to find out.
Yearn.finance technical analysis (AND FI)
YFI’s current price is $ 24,840, slightly retreating after hitting the recent all-time high.
We are currently seeing momentum in the works, and it is still possible to look for a new record before attempting to pull back.
On the daily chart, the trend is clearly bullish in the short term, a product of increasingly higher lows and highs.
The moving averages 8 EMA and 18 day SMA support this direction, and functioned as dynamic supports, while Yearn.finance picked up enough demand to generate the momentum that we see developing today.
Immediate support on the daily chart is at $ 14,465, and as long as it is not traversed, the short-term trend remains intact.
After the price crossed the previous maximum of $ 16,465, the land was completely cleared, since there are no upper areas where supply has previously been generated.
Seen this way, the moon is the limit, and the uptrend for the moment will continue to seek new highs.
However, you have to be very careful, because the best part has already happened. The more it rises, the more they are incentivized to take profits, and the fewer large investors risk entering, without first seeing a significant setback that allows them to take advantage of good prices.
In the 4-hour time frame the picture is the same, the bulls currently have full control of the Yearn.finance token.
This graph shows how momentum is developing, and a bit of a slowdown is beginning to be noticed.
Although a pullback may be starting, there are not many signs yet to confirm it.
The moving averages 8 EMA and 18 SMA 4-hour periods are currently bullish, as is the 200 SMA.
The support that must be respected to maintain the intraday uptrend is at $ 17,950.
For the moment, the odds are fully in favor of the bullish continuation, so sooner rather than later we will see Yearn.finance (YFI) reaching new highs.
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