Curve Finance’s TVL Drops After Hack, CRV Price Declines

One sentence summary – Curve Finance launched new pools on the Layer-2 platform Base, but its total value locked (TVL) has declined by 31% since a reentrancy hack in July, resulting in the theft of $73.5 million worth of crypto assets, causing many users to withdraw their funds; however, there is a possibility of a price rebound for Curve’s native token, CRV, if sentiment improves, as indicated by a bullish divergence in the Chaikin Money Flow (CMF).

At a glance

  • Curve Finance launched new pools on the Layer-2 platform Base on August 30.
  • Curve’s total value locked (TVL) has declined by 31% since a reentrancy hack on July 30.
  • The hack resulted in the theft of $73.5 million worth of crypto assets.
  • Curve currently has approximately $2.65 billion worth of assets locked, with Base contributing less than 1% to this total.
  • The price of CRV, Curve’s native token, has declined by 22% in the last month due to decreased on-chain liquidity and selling pressure.

The details

Decentralized exchange Curve Finance launched new pools on the Layer-2 platform Base on August 30.

Despite this, Curve’s total value locked (TVL) has seen a decline since a reentrancy hack on July 30.

The hack resulted in the theft of $73.5 million worth of crypto assets.

This led to many users withdrawing their funds from Curve.

As a result, the TVL has dropped by 31%.

Currently, Curve has approximately $2.65 billion worth of assets locked.

Base contributes less than 1% to this total.

Since the launch of the three dynamic liquidity pools on Base, only $15 million in liquidity has been supplied.

The price of CRV, Curve’s native token, has declined by 22% in the last month.

This decline can be attributed to a decrease in on-chain liquidity for CRV, as investors have been selling their holdings.

Key momentum indicators for CRV have also trended downward, confirming the decrease in accumulation since the hack.

The alt’s On-Balance-Volume (OBV) has declined by 14% in the last month, indicating more selling than buying.

However, the Chaikin Money Flow (CMF) for CRV has shown an uptrend, creating a bullish divergence.

It is worth noting that a CMF bullish divergence often precedes a price rally.

Therefore, if sentiment improves, there is a possibility of CRV’s price rebounding.

In conclusion, Curve Finance’s recent launch of new pools on Base has not been able to counter the negative impact of the reentrancy hack, resulting in a significant drop in TVL.

The price of CRV has also experienced a decline due to decreased on-chain liquidity and selling pressure.

However, there is a potential for a price rebound if sentiment improves, as indicated by the CMF bullish divergence.

This news brief is generated based on the available facts and information provided.

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ambcrypto.com
– Decentralized exchange Curve Finance launched new pools on the Layer-2 platform Base on August 30
– Curve’s total value locked (TVL) has dropped since the reentrancy hack on July 30
– The hack resulted in the theft of $73.5 million worth of crypto assets
– Many users have withdrawn their funds from Curve since the hack, leading to a 31% drop in TVL
– As of now, $2.65 billion worth of assets are locked in Curve, with Base contributing less than 1%
– Only $15 million in liquidity has been supplied to the three dynamic liquidity pools on Base since their launch
– The price of CRV has declined by 22% in the last month
– On-chain liquidity for CRV has decreased, and the token’s price has plummeted as investors have sold their holdings
– Key momentum indicators for CRV have trended downward, confirming the decrease in accumulation since the hack
– The alt’s On-Balance-Volume (OBV) has declined by 14% in the last month, indicating more selling than buying
– However, the Chaikin Money Flow (CMF) for CRV has shown an uptrend, creating a bullish divergence
– A CMF bullish divergence often precedes a price rally, so if sentiment improves, CRV’s price may rebound.

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