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Compound (COMP) token outperforms the market as DeFi TVL rises to $14.4B

Published 12/08/2020, 04:57 PM
Updated 12/08/2020, 07:00 PM
Compound (COMP) token outperforms the market as DeFi TVL rises to $14.4B

The price of COMP, the governance token of the decentralized finance (DeFi) giant Compound, has been surging while the wider crypto market has entered a correction. Despite the ongoing cryptocurrency market slump, the token has rallied 56% in the past week.

COMP/USDT 4-hour chart. Source: TradingView.com

There are various potential reasons behind the sudden rally of COMP. Traders have pinpointed the unusual market dynamic on futures exchanges, where the token's funding rate remained heavily negative.

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