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Not enough power in moral lock position? CRV falls below key $0.4 level, with a drop of over 30% on the 30th.

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Not enough power in moral lock position? CRV falls below key $0.4 level, with a drop of over 30% on the 30th.

The DeFi protocol Curve, which saw a large volume of OTC sales in August at a price of 0.4 USD per CRV that the community eagerly wanted to get their hands on, has reached and even fallen below this key price point. Will the CRV liquidation crisis continue?

Review of the Curve Incident: Robbing Peter to Pay Paul?

Curve experienced a hacking incident at the end of July, and the solvency crisis of Curve founder Michael Egorov began to ferment in early August. To prevent the market from collapsing, many well-known figures in the industry came to the rescue.

  • Curve founder Michael Egorov OTC sells CRV in bulk

  • Binance Labs buys $5 million worth of CRV! Curve may join the BNB chain

  • Brother Mark Li-Cheng Huang buys $1.5 million worth of CRV at a discount, locks up 3.75 million CRV, and Mr. Block pays tribute

At the time of the incident, Michael Egorov had debts of up to $110 million across various DeFi protocols, with over 427.5 million CRV collateralized, accounting for 47% of the circulating supply, necessitating repayment to avoid liquidation.

Through operations such as seeking help from Cream, Binance, and OTC trading, Michael Egorov temporarily alleviated the liquidation risk. However, it seems like a temporary fix, and the crisis of CRV liquidation may continue. Will it?

By conducting OTC trades, he sold his holdings of CRV at a price of $0.4 per token. However, it was later proven that the rumored lock-up mechanism for selling tokens was not mandatory but rather moral, and now CRV has officially fallen below $0.4.

CRV Falls Below $0.4

In fact, CRV has fallen below the lowest point during the hacking incident and solvency crisis of $0.5679 since mid-August, and as of the deadline, it has fallen below $0.39.

According to data from CoinMarketCap and TradingView, CRV has dropped by -3.26% in the past 24 hours, -12.32% in the past 7 days, and a significant 30.24% in the past 30 days.

Price Source: Binance Trading Pair

Previous reports have mentioned that the founder of Huobi, Du Jun, strongly supports Curve. He believes that Curve is a truly innovative project and the foundation of the industry, and supporting the industry together will make it healthier.

Now, the price he wants to enter has been reached, and even more cost-effective.

Recently, Woody, a well-known KOL in the cryptocurrency industry in Taiwan, who has returned to the industry, publicly expressed his bullish views on CRV.