Decentraland’s MANA, the native token powering the Ethereum blockchain-powered virtual world where users can create, experience, and monetize content and applications, has fallen 75% in the past two quarters.
Think about this: MANA’s price has fallen from $2.7 to $0.69 over this period, with the larger market grappling with the aftermath of the Celsius and Terra collapse and bearish macroeconomic conditions.
Bigger whales say no to MANA
There’s no denying that general interest in Metaverse-based projects has waned. No, thanks to the ongoing decline in the overall cryptocurrency market and the tightening of conditions in the broader financial markets. In fact, investors have now focused on projects and crypto assets that guarantee a high degree of security for their investments.
According to data from blockchain analytics platform Santiment, the main whales that have been holding MANA have gradually let go of their holdings over the past two quarters. The number of addresses with between 100,000 and 1,000,000 MANA tokens and 1,000,000 to 10,000,000 MANA tokens decreased by 4% and 5%, respectively, in the past six months.
Interestingly, addresses with between 1,000 and 100,000 MANA tokens increased their accumulation over the same period. However, this category of holders has failed to build enough buying pressure necessary to drive up the asset’s price.
What’s going on in Decentraland?
Due to an ongoing lack of interest in the Metaverse-based project, weekly sales on Decentraland have fallen steadily over the past two quarters, data from Dune Analytics revealed.
As of September 26, total revenue on Decentraland was $65,577, down 90% from the $716,089 earned in weekly sales on April 4.
As for MANA, the free fall of the asset’s price over the reporting period also led to a significant drop in trading volume. Since hitting a daily high of $1.74 billion in trading volume on May 14, MANA’s daily trading volume is down a whopping 94%.
Due to the lack of pressure needed to trigger a significant rally in the price of MANA, the number of daily traders also declined. For context, since the collapse of Terra, the number of daily active addresses that have traded in MANA since then has dropped by 66%.
Finally, over an average of 180 days, a significant number of MANA investors have taken losses – a finding that underlines the current state of the MANA market.
This post MANA Down, But Investors Need To Know This Before Considering Exit
was published first on https://ambcrypto.com/mana-is-falling-but-investors-must-know-this-before-they-consider-getting-out/