- The staking rewards for ApeCoin declined considerably
- The curiosity within the APE token decreased, and NFTs related to the token had been impacted as properly
The announcement of staking rewards for ApeCoin [APE] generated a variety of curiosity. There was an upsurge in shopping for the token itself, together with its related NFTs. Nevertheless, a couple of days after the announcement, the curiosity in APE pale away.
Learn ApeCoin’s [APE] Price Prediction 2023-2024
One motive for the declining curiosity in APE could possibly be the declining rewards being generated from staking swimming pools.
Based on knowledge supplied by Dune Analytics, the rewards being given out to stakeholders dropped considerably.
Supply: Dune Analytics
Moreover, one more reason for the declining curiosity in ApeCoin could possibly be the influence attributable to the Binance FUD.
Based on DEX knowledge, APE was dumped closely since 11 December. Although the immense quantity of promoting had stopped, the spike in shopping for wasn’t sufficient to revive a lot confidence within the token.
Supply: Dune Analytics
Monkey enterprise
It wasn’t simply the token that was impacted. NFT collections related to ApeCoin, akin to Bored Ape Yacht Membership (BAYC) and Mutant Ape Yacht Membership (MAYC) had been additionally affected.
One space that was affected was the common flooring worth of the BAYC assortment. As evidenced by the chart beneath, the ground worth declined by 4.85% over the past seven days. The typical worth at which an NFT was being offered additionally decreased by 2.37% throughout the identical interval.
The MAYC assortment was affected on this sector as properly. Its flooring worth had depreciated by 3.7% and its common worth had declined by 2.19% during the last seven days, in line with NFTGO.
Supply: NFTGO
The on-chain metrics of ApeCoin
ApeCoin seemed glum, even when it comes to on-chain metrics.
Its each day energetic addresses declined, signaling the truth that exercise on the ApeCoin community had decreased. Similarly, its community progress additionally fell. A shrinking community progress implied that the variety of new customers transferring APE for the primary time dropped materially.
Nevertheless, APE’s velocity witnessed a spike, which indicated that the variety of new addresses transferring APE had waned.
Supply: Santiment
These elements contributed to the declining worth of APE. As a result of decline in costs, the Market Worth to Realized Worth (MVRV) ratio additionally fell. A low MVRV ratio steered that if most holders offered, they might achieve this at a loss.
Nevertheless, the lengthy/quick distinction of APE rose. This implied that previous HODLers who’ve had the token for an extended interval may nonetheless make a revenue in the event that they offered their tokens.
Supply: Santiment
It stays to be decided whether or not long-term APE holders would succumb to the promoting stress or whether or not they would experience out the storm.