- The cryptocurrency market experiences a subdued performance, with significant digital assets like Bitcoin and Ethereum witnessing a downturn.
- Gaming tokens like Axie Infinity (AXS) and The Sandbox (SAND) demonstrate remarkable growth, potentially in anticipation of Apple’s mixed-reality headset, touted as a boost to the metaverse.
In a somewhat unremarkable Monday for the larger crypto market, a few gaming and metaverse tokens have managed to secure impressive gains. The otherwise sluggish performance of the market saw Bitcoin, the leading digital asset by market capitalization, dipping 2% over 24 hours, with its trading price settling at $26,690 by 9am New York time.
This marks a 4.3% drop over the past seven days for Bitcoin, which has been grappling to regain its footing following a ten-month peak of $30,000 in April, before plummeting significantly in May. Ethereum, the runner-up in the digital asset sphere, hasn’t fared much better, with a 2% decrease over the past day. Other major altcoins, such as Dogecoin, Polygon, and Cardano, have suffered losses between 1 and 2% over 24 hours.
In a notable departure from its typical trend of echoing U.S. equities, the crypto industry seems to be charting a different path. As American stocks embark on a robust start for the week, with S&P 500 and tech-centric Nasdaq up 0.1% and 0.2% respectively, the crypto market isn’t keeping pace.
With tech investors shifting their focus towards the increasingly dominant world of artificial intelligence, highlighted by the November debut of chatbot ChatGPT, cryptocurrencies have been relegated to the backseat. This is evidenced by an 82% plunge in crypto venture capital funding in Q1 2023, in comparison to the same period in the previous year.
However, amidst this overarching tepidity, gaming tokens have managed to buck the trend. Axie Infinity (AXS) and The Sandbox (SAND) have reported growth rates of 3.1% and 5.4% respectively. The surge is potentially linked to the anticipated launch of Apple’s mixed-reality headset, a development expected to thrust the metaverse into mainstream recognition.
Additionally, Terra Luna Classic saw a notable uptick. The token traded 3.2% higher within the past day, and at one point on Monday morning ET, it had spiked over 7%. The rise is likely due to news that Do Kwon, the creator of the original, now-defunct Terra blockchain, would be released from detention in Montenegro.