coinspress.com
The price of Curve DAO (CRV) has plummeted nearly 30%, causing widespread bearish sentiment in the crypto market.
The token fell from $0.35 to $0.27 due to massive liquidations. Curve Finance founder Michael Egorov is facing significant liquidations across multiple DeFi platforms, following warnings of a potential $140 million CRV liquidation.
Egorov has borrowed $95.7 million in stablecoins against his $141 million CRV holdings and is paying $60 million annually to maintain these positions. Data shows Egorov’s address has been liquidated for 20.2 million CRV on UwU Lend, and another whale address was liquidated for 29.6 million CRV.
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Despite the crash, Coinglass data indicates a 108.32% increase in Futures Open Interest to $105.65 million and a 472.96% surge in derivatives volume to $1.33 billion, showing continued investor interest in CRV.
Additionally, CryptoQuant CEO Ki Young Ju noted a significant increase in CRV balances on exchanges, reaching an ATH with a 57% spike. This increased supply on exchanges adds further pressure on CRV’s market value, potentially leading to more volatility in the short term.