Due to rumors from PayPal regarding the acquisition of a crypto company, DeFi Curve Finance (CRV) tokens have been valued at over 50%.
The majority of speculators have put their funds in Curve Finance (CRV) tokens after the rumors from PayPal.
There is news that PayPal has acquired an Israel-based crypto company called Curv, which has nothing to do with Curve Finance.
The news was published on March 2, 2021 by launching an unknown source assuming that the source "knows" about this acquisition.
According to news circulating, the Curv company has been acquired by Paypal at a price of Rp. 3.9 trillion to Rp. 4.3 trillion.
One hour after the news broke, CRV appreciated more than 10% towards Rp37,232 due to the large number of speculators looking for opportunities.
The official Twitter of Curve Finance is also listed although there is no connection whatsoever. Curve Finance responded to the news and clarified the absence of a relationship.
After the clarification of Curve Finance, CRV fell again and formed the largest trading volume at that hour since January 21, 2021.
Despite the misunderstanding, Curve Finance (CRV) still received positive sentiment.
This is because the appreciation still looks significant, namely around 52% since March 1, 2021 and 30% on the last day.
As a result of this appreciation, yesterday CRV became the best Ethereum-based DeFi asset according to data from Messari.
This misconception is not the first time this has occurred in the crypto market. TRX is also one of the cryptos that has suffered from a misunderstanding.
In January 2021, there was a misunderstanding between the shares of the Tanzania Gold Company (TRX) and the cryptocurrency Tron (TRX).
At that time, the shares of TRX and the founder of the TRX cryptocurrency were being discussed in the r / WallStreetBets community which caused a misunderstanding.
At that time, TRX Shares rose 84-fold on January 29, 2021 before then fell 15% after clarifying the misunderstanding.
At the same time, the cryptocurrency TRX rose by more than 60% before losing about 30% in a short period of time.
This misunderstanding often occurs in financial markets, so traders and investors must be more careful and careful in making decisions.
Although it can have a positive impact, generally this misunderstanding will be detrimental.
This is because in the long term losses will occur due to distant prices or what is often referred to as "stuck".
However, this assumption is not always true because the CRV, which, despite the misunderstanding, seems to be moving up until now.