Curve DAO Token Drops 2.17% as Support Levels Tested

Curve DAO Token (CRV) is currently experiencing a period of weakness, trading near a critical support level of $0.50. At the time of reporting, CRV is valued at $0.4993, reflecting a 2.17% decrease over the past 24 hours. This downward trend has raised concerns among investors about the token's near-term prospects.
Recent analysis indicates that CRV is testing a crucial support level at $0.466. If this level holds, there is a possibility of a bounce within a corrective C-wave. However, if the support at $0.466 fails, further downside pressure is likely. Previous bullish attempts have quickly faded, and analysts suggest that achieving a new all-time high in the short term is unlikely.
Despite the weak price performance, Curve Finance has shown modest platform growth. The total value locked (TVL) on the platform increased by 0.7% to $2.17 billion. Demand for crvUSD, the platform's stablecoin, has also risen, with borrowing up by 2.1% and the total supply climbing 1.7% to $118 million. The stablecoin has maintained a steady peg at $0.9998.
Yield farming opportunities on the platform remain robust, with stablecoin pools offering returns as high as 93.7%. However, swap counts have decreased by 27.4%, even as overall trading volume has increased by 15.6%. Llamalend, Curve’s lending arm, continues to recover from a previous exploit, although its TVL has declined by 7.2%. Arbitrum activity has surged following a recent announcement.
Curve Finance's Q2 2025 financial report, released from Token Terminal, highlights solid growth in lending metrics. Active loans surged by 308%, rising from $18.2 million in Q1 to $74.2 million in Q2. Net deposits grew by 3.7% to reach $2.0 billion, maintaining stability with Q1 levels. The crvUSD supply rose sharply by 63.9%, indicating growing user adoption. However, trading volume dropped by 34.7%, falling from $30.1 billion to $19.6 billion.
As CRV continues to test crucial price levels, technical signals and platform fundamentals present a mixed outlook for the coming weeks. The token's ability to hold above the $0.466 support level will be critical in determining its near-term direction. Investors are advised to monitor these developments closely as they navigate the current market conditions.

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