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Curve DAO founder Michael Egorov faces liquidation after sharp price drop

  • Curve DAO price plummets 38% on Thursday.
  • CRV founder Michael Egorov's position was liquidated.
  • Another investor's 10.58 million CRV tokens worth $3.3 million were also wiped out.

Curve DAO (CRV) price crashed 38% on Thursday, putting CRV founder Michael Egorov's positions on DeFi lenders into liquidation mode, according to data by Lookonchain. Egorov currently has 111.87 million CRV tokens worth $33.87 million in collateral and $20.60 million in debt on four platforms.

Additionally, this event led to a chain reaction of liquidation from another investor, wiping out 10.58 million CRV tokens worth $3.3 million on Fraxlend.

 



 

Santiment’s Network Realized Profit/Loss (NPL) indicator provides the daily network-level Return On Investment (ROI) data based on a coin’s on-chain transaction volume, offering insights into market sentiment. Sharp spikes in a coin’s NPL suggest holders are selling at significant profits, while steep dips indicate holders are realizing losses, potentially signaling panic sell-offs and investor capitulation.

For CRV, the NPL indicator dropped from -1.05 million on June 12 to -88.68 million on June 13, correlating with a 38% price decline. This negative trend suggests holders, on average, are realizing losses, and hints of strong selling pressure.

CRV Network Realized Profit/Loss chart

Santiment’s Supply Distribution metric shows that from June 12 to 13:

  1. Whales with 1 to 10 million had increased their holdings from $337.69 to $377.65 million.
  2. Whales with 10 to 100 million had decreased their holdings from $464.95 to $433.41 million.
  3. Whales with 100 million to 1 billion decreased their holdings from $1.14 to $1.11 billion.

This interesting development shows that the sell-off by the latter two groups of whales is twice as great as the accumulation by the first group of whales. This event increased the supply on exchanges from 333.18 to 547.52 million in one day, indicating short-term sell pressure on CRV.

CRV  Supply Distribution chart

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