The DeFi tokens that created so much buzz in the media are presently undergoing a decline run which has seen them lose as much as 50%.
With digital assets gradually making their comeback in the financial market, the coins that made the headlines last month are now moving in a downward trend. The DeFi sector was one of the sectors that championed the surge that spanned across the entire market.
Presently, the DeFi tokens are the ones hit mostly in a market that is presently showing signs of a further decline. In one week, we have witnessed the correction of the market capitalization of the digital assets sector by 20%. Presently, Bitcoin and Ethereum’s failure to overcome the resistance levels has opened the market to a very drastic fall.
DeFi tokens witness a drastic decline
An analytics firm, Messari, carried out a survey which showed that six of the top ten coins have been on a rough path with most of them losing as much as 50%. In the past week, Curve finance native token, CRV was the biggest loser as it witnessed a decline of around 65%.
In a tweet by Uniswap, it showed that the price of the token topped well above $50 in the middle of August but has seen red in the span of a week. Other tokens which have seen a slump of around 50% are BZRX, WNXM, MTA and REN tokens. Some experts have believed that the move might be healthy because the tokens have topped over four figures, so a correction is good.
Sushiswap witness 80% decline in seven days
Another token that has seen red this past few weeks in the DeFi sector is the famous Sushiwap token which has gone down as low as 80%. The activities this past few weeks has been enough to boost the confidence of holders as they have gone on a sell-off spree.
Hours after it launched, the DeFi tokens price went as high as $11 but has seen a decline to place a little bit below $3. Presently, the platform is making moves to leave the Uniswap protocol which is seen as a move that will boost the price.