DeFi Tokens Hit Hardest by Crypto Market Selloff 16

DeFi Tokens Hit Hardest by Crypto Market Selloff

Quick take:

  • Bitcoin’s drop from $12k to $10k levels has affected DeFi tokens the most
  • Popular tokens such as LINK, LEND, YFI, COMP and more are experiencing double-digit losses
  • However, crypto exchanges such as Binance and Poloniex continue to list DeFi assets indicating confidence in the industry

Bitcoin’s recent drop from $12k levels to the $9,900 price area has left a huge dent on the entire crypto markets. A brief look at Coinmarketcap reveals that Ethereum is once again below the crucial $365 support area and is currently trading at $357 at the time of writing. Additionally, XRP has once again lost the number 3 spot to Tether (USDT) with over $3 Billion in market capitalization separating the two digital assets.

DeFi Tokens Hit Hardest by Crypto Market Selloff

Besides the majors, DeFi tokens seem to be hardest hit by the ongoing crypto market selloff. Starting with ChainLink (LINK), the digital asset has lost the $12 support zone that had been identified alongside the 50-day moving average as being a possible area for a bounce.

In the case of the popular Yearn Finance, YFI is trading at $21,278 down 26% in the last 24 hours. To note is that its current value is 46% lower than its recent all-time high value of $39,300. Other DeFi tokens exhibiting double-digit losses include Synthetix (SNX), SushiSwap (SUSHI) and Just (JUST). Below is a screenshot that highlights the massive losses experienced by DeFi tokens.

DeFi Tokens Hit Hardest by Crypto Market Selloff 17
Screenshot courtesy of Coinmarketcap.com

Crypto Exchanges Continue to List DeFi tokens

However, despite the crypto market sell-off, popular exchanges such as Binance and Poloniex are constantly listing DeFi tokens.

With respect to Binance, the exchange has listed the following DeFi tokens since July: Yearn Finance (YFI), Wrapped BTC (WBTC), Balancer (BAL), Curve Finance (CRV), Sushi (SUSHI), DFI.Money (YFII), Tellor (TRB), Dia (DIA), Rune (RUNE) and more.

Poloniex has followed a similar path by listing multiple DeFi tokens such as Pearl Finance (PEARL), AlphaLink (ANK), JackPool.finance (JFI), Carrot Finance (CRT), Salmon (SAL), Corn (CORN), tBridge Token (TAI), Unitrade (TRADE), Zap (ZAP) and more.

The continual listing of DeFi tokens by Binance and Poloniex is proof that the industry is just getting started. The market losses might only be temporary, although it might take time for the DeFi tokens to recover.