Considering how many cryptocurrencies have surged in value within the last 24 hours, the Curve DAO Token (CRV) is among the top performers. Back on Tuesday, the Curve DAO token managed to shed nearly 17% of its value, pushing it down to the 40 cents mark. As of today, the Curve DAO token has managed to witness an increase of 50% and is currently trading for $0.624.
The total percentage of the CRV token held in centralized exchange wallets has increased by 70% this month.
Is It Worth Investing in Curve DAO (CRV)?
Curve DAO token’s balance sheet has managed to surge considerably. Investors are transferring a great number of borrowed tokens to countless centralized exchanges. It is widely believed that the Curve DAO token’s short-term prospects are bleak. The main reason for believing so is the fact that these prospects are accompanied by the lack of worthy incentives when it comes to holding the token due to the condition of extreme fear that currently reigns in the market.
As the Curve DAO token has managed to experience some price appreciation, most people actually believe investing in the token is the right thing to do. However, this matter is still a debatable topic. As a result of the great increase in the number of coins being held in centralized exchanges, the token has turned greatly volatile. Therefore, the coin might retrace its value in the coming days.
The market itself is highly unstable. Thus, any rushed investments could lease to severe losses for investors. Curve managed to establish itself as a winner after FTX’s collapse, it is widely believed that improper engagement would play a fundamental role in hurting it in the shorter term. Keeping this in mind, users often show a lesser interest when it comes to the provision of their tokens into liquidity pools. Right after FTX collapsed, Curve managed to experience greater outflows.