29 August 2020

DeFi Bull YFI Keeps Booming As Bitcoin, Chainlink and Ethereum stall

Last Updated on 29 August 2020 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / jeroen@cryptotips.eu

The once feared Federal Reserve speech of Jerome Powell turned out to be a big nothingburger in the end but Bitcoin and Ethereum seem locked in a tight trading range which doesn’t let them break out, whether to the down- or even upside. Meanwhile smaller DeFi coins continue booming just as ChainLink also seeks direction.

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Bitcoin

The news coming out of Jackson Hole, Wyoming, where central bankers of the world met and many worried that the dollar’s weakness would be reversed, proved nothing to worry about for Bitcoin in the end. The best known crypto seems stuck in the range between $11k and $12k since a week though, and seeks new direction. The beginning of a new trading month of September could just be the boost it needs.

Ethereum

The Ethereum price broke through the $400 mark early August, but has had trouble to maintain that level ever since.

Ethereum ETH price struggles to reclaim the $400 mark https://t.co/fL6OLBoahC
— Murtha & Burke Marketing, LLC (@murthaburke) August 26, 2020

The fact that CEO Vitalik Buterin famously warned about possible bubbles in DeFi when he heard about the YAM story earlier this month and the new trend of yield farming didn’t help the coin’s popularity with new investors.

I honestly have not done *any* yield farming at all. I put a few coins into uniswap a long time ago and took them out after earning a few percent on fees but that's pretty much it.
— vitalik.eth (@VitalikButerin) August 14, 2020

Then again, Ethereum’s place as the second most popular crypto in terms of market capitalization still looks very secure and the fact that it’s blockchain is used by so many altcoins to develop dApps is another very positive sign.

Chainlink

Chainlink, still the biggest DeFi coin in terms of market capitalization, has experienced a 2020 rollercoaster ride in terms of crypto trading. The highs of $20 now seem a tad off but the altcoin is still refusing to dive any deeper than $14. Ever since our tale earlier this week that Chainlink’s majority of coins is held by some 9 Whales only, the major correction that was taking place stalled and the coin seems to stabilize around the $15 level. We await further action.

YFI

Staunch warnings over a possible bubble of DeFi coins continue rising, but so does the value of some of these new cryptocoins.

Up 1400% in 1 monthhttps://t.co/WD5CTHJu8T
— zerohedge (@zerohedge) August 20, 2020

One of the most notable ones is YFI, which flipped the Bitcoin price earlier this week and was at that moment already up 1,400% in one month, as famous Trump supporter (and deliverer of alternative media) Zerohedge had also noted, growing the coin’s notoriety in the process.