I also sometimes feel confused, why the Defi project can have a price above Bitcoin and Ethereum? Does someone know the reason why?
I'm going to add more to what TravelMug said about trading volume.
CMC data shows the following:
Volume (24h)
- BTC: $18.9 Billion
- YFI: $46.7 Million
Circulating Supply
- BTC: 18.4 million
- YFI: 29 thousand
We've been saying that there's a correlation between demand and supply. When demand for a product is high and supply is low, it usually drives the price up.
There's a huge hype around DeFi products right now and investors are competing to get a piece of YFI. The low circulating supply is forcing them to buy at a higher price. Another factor is some investors are hodling tight which further limits the circulating supply.
The lesser trading volume also allows for easier market manipulation.