Yearn Finance (YFI) grows by 36%: DeFi tokens driven by Bitcoin’s bullish trend?

There are three main factors behind the recovery of Yearn.finance (YFI), whose price in the last three days has increased by 58%.

In the last 72 hours, Yearn Finance (YFI) grew by 58% after falling to just $12,260 on some exchanges.

There are three factors that could have caused this sharp turnaround: first, YFI was sold significantly underpriced; second, the assurances of lead developer Andre Cronje about the project; and finally, the continued expansion of YFI use cases within the ecosystem.
YFI was sold at below price

In the last month DeFi tokens have suffered a general collapse, which has seen the value of many projects drop as much as 40%-70%. This rush to sell seems to have been caused by some Bitcoin (BTC) and Ether (ETH) price corrections. However, now that BTC has firmly exceeded $11,000 and seems to be heading towards a bullish trend, traders are keeping an eye on YFI and other tokens to see if they will continue to rise.
As previously reported by Cointelegraph, the main DeFi projects have solid economic fundamentals, so such a low price was deceptive.

Some data showed that the revenues of most DeFi protocols were actually increasing, while the prices of the underlying tokens fell sharply: this means that they were probably sold below their fair value.
Revenue variation compared to the token price variation of the main DeFi projects

Yearn.finance, for example, is about to release an important update.

Typically, launches and updates of the most important products would cause a price increase of the underlying token, but the overall weakness of the DeFi market caused YFI’s price to drop throughout September and October.

The total value invested in Yearn.finance’s products is over $900 million. This indicates that almost $1 billion of capital has been distributed across the entire Yearn.finance platform.

Andre Cronje reassures the community: he won’t leave

In the last week there have been rumors that Andre Cronje, lead developer of Yearn.finance, is about to leave the company, following a hacker attack that would take away all the funds he had invested in a project he was working on.

Eventually the hackers returned $8 million of stolen funds to Cronje, but many members of the crypto community are still angry with him.

Cronje recently issued a statement saying he will not leave Yearn.finance despite recent rumors:

„I’m still here, working. Nothing has changed. Anyone who says otherwise can go to f*****o. I’m sick of tweeting and social media“.

Cronje’s involvement in the development of Yearn.finance is very important to YFI’s long-term prospects, especially considering that Cronje has designed most of Yearn’s products since its inception.

Vault V2 development is nearing completion

Facu, a developer of Yearn.finance, has revealed that the team is „getting closer and closer“ to the completion of Vault V2.

On October 1, the Yearn.finance team officially confirmed that Yearn Vault V2 is under development, emphasizing that:

„Yearn V2 Vault V2 Vaults are in active development: they will include new vaults and new strategies. We are very pleased to be able to bring you these new features: we will provide you with more details as soon as possible“.

Any major progress involving Yearn Vaults will certainly have a positive impact on YFI’s value. The majority of the capital invested in Yearn.finance is in fact held in the Vaults, which allow investors to obtain yields.

Waiting for new product launches and the overall recovery of the DeFi market could therefore lead to a new upward trend for YFI.