YFI Drops 0.06% Amid Lock-Up Agreements and Market Volatility

On November 2, 2025, Yearn Finance (YFI) closed at $4,742, marking a 0.06% decline over the past 24 hours. The token also posted a 1.27% drop over the last seven days, though it gained 0.17% over the past month, contrasting with a 41.01% year-to-date decline. The recent price movement coincides with the expiration of several lock-up agreements tied to equities in fintech and technology-related companies, highlighting the complex interplay between tokenized assets and traditional financial instruments.

Lock-Up Agreements Trigger Market Volatility

The expiration of lock-up agreements on November 2, 2025, involving Pineapple Financial Inc. and Range Capital Acquisition Corp II, has sparked increased market activity. Pineapple Financial’s lock-up, lasting 181 days from May 5 to November 2, restricted the trading of certain options, including those exercisable for common stock. Similarly, 600,000 units of Range Capital Acquisition Corp II were locked up from October 2 to November 2, limiting the liquidity of its shares and related financial instruments during that period.

These lock-ups are designed to prevent insider dumping and stabilize market prices during post-IPO or post-merger periods. With their expiration, the potential for increased trading activity has been widely anticipated. However, for YFI, the token’s price action does not directly reflect this unlocking—indicating that broader market dynamics, rather than a singular event, may be influencing its current valuation.

No Direct Correlation Found Between Unlocking and YFI Performance

Despite the timing, there is no direct link between the expiration of these lock-up agreements and the 0.06% YFI decline observed over the last 24 hours. The token’s performance appears to be influenced more by technical and macroeconomic factors than by unlocking events. This includes broader crypto market sentiment, regulatory developments, and systemic risk aversion, all of which were not directly detailed in the compiled news.

Analysts have not made public projections linking YFI’s short-term price trajectory to the unlocking of these equity instruments. Nonetheless, the co-occurrence of these events highlights the interconnectedness of traditional and crypto markets, particularly in how liquidity restrictions affect both equity and tokenized asset classes.

Backtest Hypothesis

A potential backtesting strategy involves evaluating YFI’s behavior following -10% price drops, a key indicator often used to assess recovery potential and volatility patterns. The goal is to determine whether YFI historically recovers or underperforms in the 30–90 days following such declines. To do so, a time-based analysis is conducted using daily close prices from 2022-01-01 to 2025-11-02.

The method involves identifying every -10% drop and then measuring the price performance over subsequent 30, 60, and 90-day periods. The results would provide insight into whether the token tends to bounce back, retest previous lows, or continue in a bearish trend following such sharp corrections. This is particularly relevant given YFI’s 41.01% annual decline, suggesting a structural bear phase, though shorter-term rebounds may still occur.

However, the backtest is currently infeasible due to a data-retrieval issue, as the platform cannot locate historical price data for “YFI” or related ticker alternatives. The options moving forward are to either verify the correct symbol format (e.g., “YFI-USD”, “YFIUSDT”) or upload a manually compiled price series in a supported format like CSV or JSON.