Yearn.Finance price faces steep resistance ahead, but on-chain metrics suggest it could hit $25,000
- Yearn.Finance price is having a tough time deciding which direction to take.
- Several on-chain metrics seem to be extremely positive for YFI in the long-term.
YFI is currently trading at $21,900 but without a clear short-term direction. The digital asset seems to have a great long-term perspective according to various on-chain metrics.
Yearn.Finance price could be poised for a breakout soon
There seems to be a lot of interest in YFI in the past month. The number of new addresses joining the network has increased by 27% in the past week. Similarly, active addresses also had a major spike since December 14.
YFI New and Active Addresses chart
More importantly, the number of whales holding between 100 and 1,000 coins ($2,190,000 and $21,900,000) has increased tremendously over the past two months from 16 on October 18 to a current high of 39. In the past week alone, this number increased by five.
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YFI Holders Distribution chart
This metric indicates that whales are prepared to hold YFI, increasing its buy pressure. On the 12-hour chart, the digital asset must hold the low of $18,360 and climb above the 100-SMA to potentially touch $25,000, which coincides with the 50-SMA.
YFI/USD 12-hour chart
However, bears have just established a downtrend on the 12-hour chart and aim to crack $18,360 support. A breakdown below this point can quickly drive Yearn.Finance price down to $16,000.
Author
Lorenzo Stroe
Independent Analyst
Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.
