Reaction: The hack on Curve Finance has caused a significant sell-off and raised concerns about a potential contagion event in the DeFi market. However, there have been positive developments, such as the partial repayment of loans and negative bets in the derivatives market, which suggest that CRV may rally in the short term. Notable investors have purchased CRV at a discounted price, and the funding rate for CRV perpetual swaps indicates active shorting of the token. The CRV/USD pair is currently trending near multiyear lows, but if support can be built at this level, the price may rally towards resistance levels. However, there are still risks involved, including the potential actions of the hackers and the remaining liquidation risk. This article does not provide investment advice and readers should conduct their own research.
Summary:
– Curve Finance hack sparks sell-off and raises contagion concerns
– CRV price drops to two-month and seven-month lows
– Positive developments include partial loan repayment and negative bets in derivatives market
– Notable investors purchase CRV at discounted price
– Funding rate for CRV perpetual swaps indicates active shorting
– CRV/USD pair trending near multiyear lows with potential for rally
– Risks include actions of hackers and remaining liquidation risk