Yearn.finance eyes new all-time high — Can YFI price reach the next $66K target?

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As Bitcoin’s (BTC) price has been consolidating in recent weeks, many other crypto assets started to show strength. This was largely expected since altcoins generally do better once BTC cools down. 

Lower volatility in Bitcoin means higher volatility for altcoins as the money flows from Bitcoin to altcoins. Ether (ETH), for example, is now looking to break its all-time high almost a month after Bitcoin’s surpassed its own milestone. 

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However, one of the biggest gainers in recent days is Yearn.finance (YFI), which is approaching its own all-time high at $47,000, and whose rally is also being boosted by the launch of a new upgrade, namely v2 Vaults.

Let’s take a look at the technicals and see if the all-time high may get broken in the next few days. 

The $44,000 ATH could break in the near future

YFI/USDT 1-day chart. Source: TradingView

Yearn.finance is showing strength in the USD pair, approaching a new all-time high. However, the current resistance is the final hurdle before this level can be broken.

The chart in itself shows a clear support/resistance flip of the $18,250 level. This support/resistance flip generated further momentum toward the $30,000 barrier.

This $30,000 barrier finally broke at the beginning of January 2021, as the price of YFI accelerated to the $40,000 resistance zone. As long as the $30,000 level sustains support, for now, further upside is likely.

A potential rally to $66,000 is on the horizon

YFI/USDT 1-day chart. Source: TradingView

I’ve recently discussed the Fibonacci extension tool as a magnificent indicator to use for further projections of price movements. This indicator can be used on Yearn.Finance as well, as YFI’s price might continue running into price discovery.

Price discovery can be hit once it breaks the crucial $40,000 resistance area. However, the next pivots can be found via the Fibonacci extension tool at $55,000 and $66,000.

These areas are determined through the 1.618 Fibonacci level, with $66,000 being the most pivotal area. This level of interest is defined by the entire corrective move from $44,000 to $7,500.

If the 2.618 Fibonacci level is used to determine the upside target (and this level is also often used, depending on the strength of the market), then $100,000 or higher is achievable for Yearn.finance.