3 reasons Convex Finance (CVX) rose 215% in December to hit a new ATH
Stablecoins are one of the areas with the greatest impact on the crypto market in 2021. In particular, they have become an integral part of the DeFi ecosystem, with total capitalization currently exceeding $ 168 billion.
The project that has seen a price explosion thanks to its focus on stablecoins and the Curve Finance (CRV) ecosystem is Convex Finance (CVX), a protocol designed to help users increase the CRV stake in order to maximize profits.
Data from TradingView shows that CVX price has risen 215% since hitting a low of $ 18.79 on December 4th and hit a new all-time high (ATH) of $ 60.22 on December 27th, with the 24-hour trading volume from an average of $ 20 million to over $ 163 million.
CVX / USDT 4 hour chart | Source: TradingView
Three reasons for CVX to start a new ATH are to add new assets to the protocol, listing on some of the top exchanges, and the continued growth of the Protocol’s Total Value Locked (TVL).
New assets and pools of liquidity
The first reason Convex Finance experienced strong growth in December was to add new assets, including new ways to provide liquidity, which powers the Convex platform. Convex has last notification will expand beyond its focus on Curve Finance by supporting Frax Finance’s growing stablecoin ecosystem.
In addition to adding a new stablecoin protocol to its ecosystem, Convex has introduced an Ether / CVX pool on the Curve v2 protocol as well as a new CRV / Ether pool on Convex with an expected return of 178.49%.
Listing on the new stock exchange
The second factor driving CVX’s price and trading volume up is the fact that listing on several major exchanges including Binance on December 22nd and Huobi Global on December 23rd.
Immediately after receiving the listing announcement on Binance and Huobi, CVX price skyrocketed from $ 34.83 to $ 45.76, up 42% in less than 36 hours.
The CVX price also rose on November 26th when it was listed on the OKEx exchange.
The total locked value increases
The third factor driving CVX is the growth of TVL in the log, which hit a new ATH of $ 19.49 billion on Dec. 29, according to data from Defi Llama.
Total value blocked for Convex Finance | Source: Defi Lama
The steady increase in frozen assets has made Convex Finance the second largest log in terms of TVL in DeFi, second only to Curve Finance at $ 22.96 billion.
As the ecosystem continues to expand and continue to support projects like Frax and possibly TerraUSD (UST) in the future, Convex Finance’s TVL could continue to rise, outperforming Curve Finance after its end.
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3 reasons Convex Finance (CVX) rose 215% in December to hit a new ATH
Stablecoins are one of the areas with the greatest impact on the crypto market in 2021. In particular, they have become an integral part of the DeFi ecosystem, with total capitalization currently exceeding $ 168 billion.
The project that has seen a price explosion thanks to its focus on stablecoins and the Curve Finance (CRV) ecosystem is Convex Finance (CVX), a protocol designed to help users increase the CRV stake in order to maximize profits.
Data from TradingView shows that CVX price has risen 215% since hitting a low of $ 18.79 on December 4th and hit a new all-time high (ATH) of $ 60.22 on December 27th, with the 24-hour trading volume from an average of $ 20 million to over $ 163 million.
CVX / USDT 4 hour chart | Source: TradingView
Three reasons for CVX to start a new ATH are to add new assets to the protocol, listing on some of the top exchanges, and the continued growth of the Protocol’s Total Value Locked (TVL).
New assets and pools of liquidity
The first reason Convex Finance experienced strong growth in December was to add new assets, including new ways to provide liquidity, which powers the Convex platform. Convex has last notification will expand beyond its focus on Curve Finance by supporting Frax Finance’s growing stablecoin ecosystem.
In addition to adding a new stablecoin protocol to its ecosystem, Convex has introduced an Ether / CVX pool on the Curve v2 protocol as well as a new CRV / Ether pool on Convex with an expected return of 178.49%.
Listing on the new stock exchange
The second factor driving CVX’s price and trading volume up is the fact that listing on several major exchanges including Binance on December 22nd and Huobi Global on December 23rd.
Immediately after receiving the listing announcement on Binance and Huobi, CVX price skyrocketed from $ 34.83 to $ 45.76, up 42% in less than 36 hours.
The CVX price also rose on November 26th when it was listed on the OKEx exchange.
The total locked value increases
The third factor driving CVX is the growth of TVL in the log, which hit a new ATH of $ 19.49 billion on Dec. 29, according to data from Defi Llama.
Total value blocked for Convex Finance | Source: Defi Lama
The steady increase in frozen assets has made Convex Finance the second largest log in terms of TVL in DeFi, second only to Curve Finance at $ 22.96 billion.
As the ecosystem continues to expand and continue to support projects like Frax and possibly TerraUSD (UST) in the future, Convex Finance’s TVL could continue to rise, outperforming Curve Finance after its end.
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