Cryptos have been falling over the last week, with the overall average token price falling by 2.9%. DeFi tokens have been hit hard by comparison, with DeFi tokens falling by nearly 23.4% in the same time frame. Many of the DeFi tokens that saw huge price increases this year have fallen. Yearn Finance (YFI) has fallen by the greatest amount over the last seven days, with a loss of 36.93%. Despite the large losses, most of the DeFi tokens are still up for 2020. Aave (LEND) is holding on to 2,252% gains for the year, and Yearn Finance is still up by 1,271%.

What does it mean? Whenever there is a large rush of speculators into an asset class, selloffs are inevitable. Some of the DiFi governance tokens were specifically designed to yield farmed, and as buyers have dried up, built-in high inflation has hurt their value. With such large losses, and few buyers willing to enter a space that many think is overheated, there may be further losses coming in the space. Just as Bitcoin fell from nearly $20,000 USD in late 2017 to less than $4,000 at the lowest point of its bear market, many of these new DeFi tokens could be in for rough times.