The Metaverse is a new cryptocurrency concept that is gaining traction. Despite the huge news, some members of the community believe that the entire concept of meta is overdone and will fade away over time
The Metaverse is a new cryptocurrency concept that is gaining traction. Despite the huge news, some members of the community believe that the entire concept of meta is overdone and will fade away over time.
Furthermore, the fall in tokens associated with meta-protocols supports this thesis. Surprisingly, their short-term perspective appears to support the above-mentioned storyline.
Short-Term Prospects for the Token Metaverse?
Most meta-coins are now in a cooling phase following the surge in November. MANA, SAND, and GALA were down 3–9 percent on the previous day alone at the time of analysis.
Simultaneously, the price has plummeted substantially on the weekly chart, with MANA down 13% and SAND down 20%. In fact, at the time of writing, most virtual reality and gaming tokens are in the red.
The downturn appears to be continuing for the time being, as the state of the indicators offers a less favorable image.
So far, the number of deposit transactions with MANA, SAND, and GALA has been consistently high. In any of the three markets, there is consequently no shortage of short-term selling pressure.
It will be tough for the price to rebound if competitors continue to take profits at the same rate.
In addition, the market-to-real-value ratio of the tokens is trending downward on the charts.
This basically means that investor returns are decreasing. In retrospect, it’s fair to say that the desire to participate in these markets has waned over the last week. Price modifications are likely to continue until demand starts up again.
Is it possible for DeFi tokens to rise in value?
The DeFi token has never been in such good shape. It should be mentioned, however, that in October, this market started a consolidation phase.
The DeFi pricing index held in the $ 7,500-10,000 area for the entire month of October, then increased to $ 10,000-12,500 in November but has since stagnated.
At some point, the consolidation will come to an end. DeFi tokens have gone through similar tedious periods in the past before bouncing back forcefully. As a result, it can be claimed that the market is currently preparing for a long-term race.
Furthermore, DeFi tokens have so far had some green candles on the daily chart. LUNA, for example, has climbed by more than 10% a day, while UNI has increased by about 4% weekly.
Furthermore, the Uniswap network has increased dramatically in recent days and has recovered well from its lows at the end of November.
At this stage, nothing can be said with certainty. Nonetheless, the foregoing data sets show that the DeFi token may recover in the coming weeks to some extent.
If the meta token’s downward trend continues, the market may see a DeFi summer in the midst of a meta winter.