Curve (CRV) value analysis
Many readers often ask us various questions about CRV. These questions can be summarized into the following categories:
1. Is there any hope for CRV?
2. Why doesn't CRV rise?
3. What price can CRV rise to?
4. Can I buy CRV now?
Before answering these questions, I suggest that you still ask yourself, what is the reason for your attention or buying CRV? Is it because I have carefully studied this coin and found it very interesting and started to pay attention or buy it? Or is it because others talk about it a lot that you can't help but start paying attention or buying?
If you pay attention or buy it because you keep hearing others talking about it, then I suggest that you either stop paying attention to it or sell it, or study it seriously yourself.
When we invest in any project, the first question we have to ask is whether we have a clear understanding of this project? If you don’t understand it yourself, no matter how good the project is, don’t vote for it. Because in this case, even if you invest, it also rises, and the wealth it brings to itself is only temporary, and it will eventually run away for one reason or another.
The first time I heard about CRV was during the DeFi boom last year. Someone mentioned that this project was for stablecoin transactions. Learn more.
Later, I heard it again on the day it was listed, and the price rose to an astonishing $11. Zhao Changpeng exclaimed on Twitter that its total market value exceeded that of Ethereum.
At this point I turned my attention to the coin, studying its white paper and website. After careful research, I feel that this project is obviously different from other decentralized exchanges. In essence, it is equivalent to a large amount of swap between various "similar" tokens, and it is a unique field. So well worth the investment.
But at that time its currency price was as high as 11 US dollars, obviously there was too much bubble. When the price of any investment product seriously deviates from its value, the bubble will definitely burst. Therefore, even if I came to the conclusion that it was worth investing in, I didn't start it right away, but continued to observe.
For quite a long time thereafter, I would occasionally pay attention to its currency price and watch it fall from $11 all the way, but I never bought it. There are two main reasons: one is that I think the price is still too high; I myself invested in other projects at that time, and those projects had good returns, so even if I didn’t invest in CRV and lost this opportunity, I have no regrets.
Later, the popularity of DeFi subsided, and the currency prices of all DeFi projects shrank sharply, and CRV was no exception. Its currency price fell to 2 US dollars. Based on the total issuance, its total market value dropped to 6.6 billion US dollars. This valuation is still not high, but this project itself is very distinctive, and often the valuation of distinctive projects will be high; in addition, compared with the previous price of more than 11 US dollars, the price of 2 US dollars has dropped by more than 80%, so The overall price seems to be within my controllable risk, so I started the regular investment, and set that once the price exceeds $2, I will stop the regular investment.
Since the development of CRV, its large-amount swap business has been dominating the industry, and the team is always updating the project and introducing new functions. Although imitation disks such as swerve appeared later, those imitation disks gradually lost their halo in the market competition, while CRV's position became more and more stable, and its business volume was also increasing.
Based on this fundamental and past development judgments, I am more optimistic about its future now, so I am not worried at all that the fixed investment price of 2 dollars will be locked up, so I don’t watch the market every day, staring at what price it is today and what price it will be tomorrow , Just pay attention to whether its price exceeds 2 US dollars when the time for the fixed investment is up, stop the fixed investment if it exceeds, and continue the fixed investment if it does not exceed.
I share my process of investing in CRV with you, hoping that everyone will realize the importance of cognition in investment. This cognition must come from your own heart, and you must sincerely recognize this project, instead of accepting this project under the influence of others.
If you admit it from the bottom of your heart, even if you invest in a project, you will feel uncertain. When the market fluctuates, you will panic, especially when you see that other DeFi tokens have risen, but your own tokens have not risen. When will it rise, and can it still rise to the XXX price?
If you have analyzed, researched and approved this project yourself, these grievances will not exist at all, and you will believe that the market and time will give a fair answer, then shift your energy from paying attention to market conditions to other more important things, such as reading , study and work, and this matter is left to the market and time to deal with it.
