Metaverse tokens rallied in tandem with the aggregated crypto asset market.
Top metaverse tokens as MANA, SAND, AXS, ENJ logged considerable gains.
The market could chart more upsides in the near term.
JAIPUR (CoinChapter.com) – Metaverse crypto markets bumped up as buying sentiment revived around the top tokens in the space. Sandbox (SAND), Decentraland (MANA), Axie Infinity (AXS) coins are amongst the frontrunners. Together these assets contributed to the 13% rally of the aggregated metaverse token market. The upside move came as the total crypto market recovered by 4% on Saturday.
The hype surrounding metaverse tokens largely took shape due to Facebook’s rebranding to Meta. Founder and CEO Mark Zuckerberg claimed to shift his focus majorly from social media operations to the emerging virtual space where users can don digital avatars to interact with each other and their surrounding environments and various digital objects.
The move brought considerable bullish attention to metaverse crypto markets. Something that will result in double-digit gains for the top tokens.
As a result, MANA, the native token of Decentraland, an Ethereum-based metaverse marketplace, printed an 85% rally to $5 towards October end. MANA began November on a bearish note, but Sotheby’s supposed to be held live ETH auctions for two Banksy paintings on Decentraland renewed investment interest in the token.
As a result, its recent price action triggered the Ascending Channel pattern formation. The said setup shows up whenever an asset is in an uptrend and prints higher lows in a series of trading sessions. Overall, Decentraland’s native token forms a Bullish Pennant, a bullish setup that consists of two converging trendlines. Both enclose an asset’s price action, which later triggers a breakout. The degree breakout rally to the upside typically finds congruency with the previous uptrend’s height, a.k.a flagpole.
On the 4-hour chart, the MANA/USDT pair’s relative strength index (RSI) clocked 60 and a little above 70 on the daily chart. The same indicates that the token pair still has more room to post gains. Buyers look to reclaim the $4 resistance, post which the focus will shift towards recapturing the previous all-time high of $5. A close above $5 will open the doors to $6.
But a continuation of the ongoing selloff could push down MANA to $3.
The Sandbox (SAND) Coin Price
SAND also holds prominence amongst all metaverse crypto coins. With a $2.6 billion market cap, the coin looks to post further gains rising on the metaverse hype. The SAND/USDT already posted 16% gains in the last 24 hours, rising with the broader cryptocurrency market.
Sandbox, the token’s parent metaverse ecosystem, is a virtual reality space that allows participants to create and control their experiences.
“The Sandbox is a virtual Metaverse where players can play, build, own, and monetize their virtual experiences. We empower artists, creators, and players to build the platform they always envisioned, providing the means to unleash your creativity.”
Along with Decentraland and Axie Infinity, the project rightly captured the attention of NFT enthusiasts, influencers, and market observers.
“My fav NFT projects are those that don’t look fully polished BUT there’s a team behind it that will build it into a beast in the next 2-3 years. Decentraland, Axie infinity, sandbox, somnium space, Veve, all these fell into that category 3-4 years ago. Any come to mind now?”
asserted NFT YouTuber, and Metakey founder, Matty,
The SAND/USDT pair achieved an all-time high of $3.44 in November, after a face-melting 80% rally from the $0.7. Daytraders re-opened long positions on Thursday, which led to the token pair tracking MANA’s trajectory. Like Decentraland’s native token, SAND coin is trading within a bull pennant setup and awaiting a breakout move to the upside.
RSI is hovering near 70 on the daily chart and at 61 on the 4-hour chart. Thus, the SAND/USDT stands to post 80% gains from current prices (based on flagpole height). The resulting rally will propel SAND token prices to $5.5.
Axie Infinity (AXS) Coin Price
Axie Infinity holds the pole position in blockchain metaverse projects. The play-to-earn blockchain game experienced explosive adoption, which inadvertently led to its native governance token, AXS posting north of 1,000% gains in 2021.
According to the statistics website activeplayer.io, monthly players have grown since September 2020 and stood at 2.3 million in Oct 2021. Moreover, the Philippines takes first place by user count, at over 40%, followed by Venezuela and USA.
The NFT game provides users with an earning opportunity. They can breed in-game creatures called Axies using AXS and Smooth Love Potion (SLP). Users can also mint their Axie characters as NFTs (non-fungible tokens) and sell them on the game’s official NFT marketplace.
Axie Infinity coin now offers staking opportunities to players and investors in general. The game’s developer firm Sky Mavis recently raked $152 million in a Series B funding round led by A16Z.
From the technical setup on the daily chart, the AXS/USDT pair looks primed to rally up further higher. RSI is trending at 55, and bullish bets have already started coming in. Investors and long-term believers in the blockchain game anticipate the token to hit $170 in the near term.
The long-term upside target falls at $267 as per the Fibonacci extension calculations, but for that to happen, bulls have to close above $200 first, which seems like a resounding possibility.
Himadri is an active investor in cryptocurrencies and upcoming blockchain technology projects. He has been a part of the digital asset space since 2017 and has held multiple positions as Social Media Manager, Assistant Editor, Sponsored Content Manager, Cryptocurrency Journalist roles in reputed news outlets like NewsBTC, Bitcoinist and CryptoPotato. He has also helped numerous blockchain projects gain prominence through terse and succinct marketing/technical content. Himadri comes with a marketing and engineering background, and has worked with reputed names such as GE Healthcare, Volvo Trucks and Polycom before moving into crypto.