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Major decentralized finance (defi) projects fell sharply in October, with token prices tumbling by between 30% and 56%, as money appears to be moving away from the overhyped space and back into bitcoin.<\/strong><\/p>\n According to Coingecko data, Andre Cronje\u2019s Yearn Finance (YFI) fell fastest, crashing<\/a> 56% to around $10,400 as of Nov. 1, down from $23,800 thirty days earlier.<\/p>\n Since Sept. 12, YFI total market capitalization has bled $957 million from a high of $1.27 billion. The asset, whose price peaked at over $43,000 two months ago, currently boasts $312.9 million in market value.<\/p>\n Uniswap (UNI), the popular decentralized exchange (dex) built on the Ethereum blockchain, lost<\/a> 46% of its value to $2.34 from $4.43 on Oct. 1. Market capitalization fell similarly to $486.7 million.<\/p>\n Lending protocol Aave (AAVE) tanked<\/a> 45% to $30 from $54.81 at the beginning of October. Compound (COMP) plummeted<\/a> more than 30% to $94 from $137, as it tracked declines across the entire defi industry.<\/p>\n Several other tokens such as sythentix (SNX), UMA, maker (MKR<\/a>), and loopring (LRC) all fell by between 9% and 35%.<\/p>\n Defi protocols are built around smart contracts. Through them, investors can move their assets across different protocols looking for the best possible return in a process that has become to be known as \u2018yield farming\u2019.<\/p>\n But as the total value of deposits locked in defi projects somewhat remained high \u2013 at $11.1 billion as at Nov. 2, according<\/a> to Defi Pulse \u2013 trading volume on decentralized exchanges has nosedived, suggesting funds may be moving away from defi and back into bitcoin.<\/p>\n Weekly volume skid to just $3.1 billion in the last seven days, Dune Analytics data<\/a> shows, down from $18.3 billion thirty days ago, as the defi hysteria cools off. At the same time, the price of bitcoin (BTC<\/a>) has been gaining in value, soaring nearly 30% in October to a yearly high above $14,000.<\/p>\n And, apart from existing crypto money retracing back to BTC<\/a>, new institutional money is pouring into the top digital asset. Multi-million-dollar investments into bitcoin by corporate outfits such as Microstrategy<\/a> and Square<\/a> appear to have added momentum to the emerging BTC<\/a> bull market, with some analysts targeting a price of $20,000 by year-end.<\/p>\n Ilya Abugov, lead analyst at Dappradar, told <\/a>industry media that despite the defi token bloodbath, \u201cthere is nothing that has damaged the story of defi and dex growth [fundamentally]. New projects are being developed.\u201d<\/p>\n What do you think about the massive price correction in defi? Let us know in the comments section below.<\/strong><\/em><\/p>\n The post Major Defi Token Prices Plunge, as Money Moves Back Into Bitcoin<\/a> appeared first on Bitcoin News<\/a>.<\/p>\n