Michael Egorov Denies Curve DAO Liquidation Claims, But Reports Suggest Otherwise
Curve DAO Token (CRV) The company has recently been thrust into the spotlight following news of a major liquidation involving its founder, Michael Egorov. While Yegorov has denied this claim, blockchain data hints at a more complex narrative. Meanwhile, CRV fell sharply by 13%, leaving investors concerned about possible future declines.
Egorov rejects liquidation request
A report from blockchain analysis company PeckShield shows that Egorov’s account faced a major liquidation event on December 19, involving 918,830 CRV tokens, worth approximately $882,660.
This development comes shortly after Egorov recently bought back 1.08 million tokens for $1.2 million at an average price of $1.114 per token.
However, Egorov dismissed these claims, suggesting that the tokens in question were related to the June 10 “uwu” hack. He called them “receipts of a master’s promise to repay stolen funds,” rather than legally held assets.
This statement has Leave room for guessingas the alleged liquidation coincided with a massive 12% drop in CRV prices.
Signs of hope amid volatility
On the positive side, some progress has been made with Curve DAO, with the token already showing signs of recovery, trading above $1 for the first time since April last year. The launch of Curve Finance’s decentralized stablecoin Savings-crvUSD (scrvUSD) plays an important role in this regard.
The stablecoin improved the scalability of the ecosystem and attracted more investors, with pledged volume soaring to $839.29 million by the end of November.
Curve Price Update
Following the liquidation report, the price of CRV dropped to $0.90 before edging lower Restored to $0.945, An overall decrease of 13%. The decline showed that even with Yegorov’s clarification, the market was reacting nervously to the news.
Looking ahead, if the CRV price fails to hold above $0.90, it could face a deeper decline that could reach the 0.382 Fibonacci retracement level around $0.83.
On the other hand, if the price rebounds and moves back above $1, it could signal a positive turn, with the coin potentially heading towards the $1.25 resistance.
