A well-known DeFi platform, Curve DAO (CRV), is regarded for offering plenty of liquidity, mainly for stablecoins. The value of Curve’s native token, CRV, which is used as a method of transaction inside the protocol, as well as the total amount of funds dedicated to it, both significantly dropped as a result of an unhappy security incident that happened over the weekend.

The huge amount of over $100 million in loans is now at risk of being liquidated, according to a Bloomberg story, presenting a significant issue for Michael Egorov, the founder of Curve Finance.

Investor anxiety increased as word of the likely sale of the Curve Founder’s assets spread, having a noticeable effect on recent price movement on the CRV market. Many people are now uncertain if there is any chance for recovery.

CRV Price Analysis: Mixed Trends Prompt Speculation On Sentiment

According to CoinGecko, the price of CRV is currently $0.563, down -2.40% over the previous 24 hours. In addition, CRV has significantly decreased by 22.1% over the last seven days.

The prospects for the CRV token are clouded by a negative attitude, notwithstanding the recent rise. An important fundamental support level, tested in November and December 2022, is located at the $0.5 mark.

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Unveiling Potential Shifts In Sentiment

The CRV price report makes an unexpected finding, pointing to a scenic increase in previously latent Open Interest (OI) charts during the past 48 hours. This incident happened during a time when the Curve DAO token’s chart showed losses.

Egorov Responds To Contagion Concerns Amidst CRV Incident

In the meantime, Egorov showed his tactical plan to lessen the effects of the steady liquidation threat in a conversation with Bloomberg that was detailed in the same story. He examined his preventative goal of declining the volume of his loans.

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