Assessing what’s next for Yearn Finance (YFI) as we gear up to close Q4

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YFI suffers a bearish divergence that indicates a decline in buying momentum. Sellers take control of the YFI market during the intraday trading session. Despite the growth in the price per Yearn Finance (YFI) token, the count of daily active addresses on the network continues to fall, data from Santiment revealed. As of this writing, […]

With just 248 unique addresses involved in YFI transactions at press time, the number of daily active addresses that have traded the alt has fallen consistently by 41% in the last week.YFI’s price and the count of its active addresses moving in opposite directions create a bearish divergence that precedes a price drawdown.

This was an indication of exhaustion among the current buyers in the YFI market and marked a potential re-entrance point for sellers. As a result, new demand would be required to drive up the alt’s price further.showed that new demand for YFI has declined since the beginning of the month. As of this writing, 59 new addresses were on the YFI network. In the last eight days, this has fallen by 48%.

Furthermore, the Relative Strength Index was spotted at 48.97 in a downtrend. Stationed below the 50-neutral region facing south, selling pressure rallied as more buyers exited the YFI market. Likewise, its Money Flow Index was pegged at 45.85 at press time.

 

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