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DeFi: Convex Finance (CVX) Soars 100% - New Phenomenon!

Tue 18 Jun 2024 ▪ 4 min of reading ▪ by Mikaia A.
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The rapid development of the DeFi (decentralized finance) sector is driving unprecedented growth in the cryptocurrency industry. Convex Finance (CVX), one of the hottest platforms, has recently seen its price double in just 24 hours, setting records in trading volume. This meteoric rise reflects growing interest in DeFi platforms and confirms CVX’s position as a major player in the market.

An investor's winnings in front of a slot machine marked "Convex".

The Meteoric Rise of Convex Finance

Recently, the attacks on Curve Finance in July 2023 cast a shadow over the entire DeFi sector. However, Convex Finance seems to have turned this dark page.

Indeed, the price of CVX crypto soared by over 100% in just 24 hours, leading to record trading volumes on major exchanges such as Binance and Bybit, reports Wu Blockchain.

On June 16, Binance recorded a spot trading volume of CVX/USDT around $32 million, while Bybit reported $120 million in perpetual CVX USDT contracts.

This spectacular rise followed positive statements from investor CrediBULL Crypto, who described on X how he capitalized on Convex Finance’s high incentives to quickly recover his initial investment.

The post that sparked the CVX rally – Source: CrediBULL Crypto (X)

Indeed, despite an all-time high of $60 followed by a drop to $2, CrediBULL Crypto tripled his CVX holdings by taking advantage of the low prices. Currently, with an annual yield rate of 25%, he hopes to recover his investment in less than a year while betting on new highs.

This renewed confidence among investors, as well as traders’ optimism, indicates renewed interest in Convex Finance and more broadly in DeFi yield amplifiers, this famous alternative to Traditional Finance (TradFi).

Crypto Analysts Bet Big on Convex Finance and DeFi Platforms

Crypto analysts were quick to seize the opportunity presented by CVX’s volatility. With attractive yield rates, they have increased transactions, thus fueling a bullish momentum in the markets.

Convex Finance, with its reward model based on “bribes” distributed every two weeks, is attracting more and more investors. These incentives, representing around 30% APR, are particularly appealing in a context where traditional yields are low.

This reward model encourages holders to increase their stakes, hoping for even higher returns if prices continue to rise.

The CVX price surge also highlights the growing interest in DeFi platforms. These offer decentralized alternatives to traditional financial services, allowing users to generate high returns without intermediaries.

At the same time, the success of Convex Finance, though very young, could well inspire other crypto projects to adopt similar models, increasing competition and innovation in the sector.

However, this rapid growth is not without risks: price fluctuations and platform security remain major concerns.

Nevertheless, for those who know how to navigate the turbulent waters of cryptocurrencies, the rewards can be substantially lucrative.

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Mikaia A. avatar
Mikaia A.

La révolution blockchain et crypto est en marche ! Et le jour où les impacts se feront ressentir sur l’économie la plus vulnérable de ce Monde, contre toute espérance, je dirai que j’y étais pour quelque chose


The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.