The popular metaverse coin project ApeCoin (APE) caught its bulls off guard as the price of APE lost nearly 40% in just three days.
The great news hasn’t quite worked for this metaverse coin project!
As we reported on Kriptokoin.com, the price of APE rose more than 2.650% from its debut in mid-March, reaching $27.57 on April 28, reaching its second high. Still, traders have begun to loosen their positions after Yuga Labs, creator of the Bored Ape Yacht Club (BAYC) NFT collection, released details of the Otherside Metaverse plots dubbed ‘Otherdeed’.
Yuga Labs has announced that the NFT mint will cost a flat 305 APE (~$5,250 at today’s price), contrary to expectations that the company will sell metaverse plots of land in the Dutch auction style. Therefore, according to experts, the disclosure may result in a drop in demand, reducing the need for people to hoard more ApeCoin tokens. APE dropped as low as $17 three days after Yuga Labs’ announcement.
Additionally, sales due to Yuga Labs’ decision to limit printing of Otherdeed NFTs, starting with two NFTs per wallet for the first wave accelerated. According to experts, this may also have played a role in the decrease in demand for APE tokens.
APE ‘a good buy’ after diving?
ApeCoin serves as the primary payment token for all Yuga Labs products and services. Additionally, a governance entity within the ‘ApeCoin DAO’, a decentralized autonomous organization that gives APE holders the right to vote on offers made by community members.
The biggest takeaway, however, remains APE’s close relationship with Yuga Labs, a blue-chip startup that was valued at $4 billion almost a year after its debut. Therefore, the hype surrounding metaverse land sales, all of which will be paid for through ApeCoin, could absorb continued sales, according to experts.
OpenSea, the world’s leading NFT marketplace, also announced on April 30 that it has started accepting APE for payments on its platform. Meanwhile, Yuga Labs has asked the ApeCoin DAO to hold a vote on whether APE can switch from Ethereum to its own Blockchain.
Loma, an independent market analyst, said that the ‘interest and Citing speculation, he pointed to APE’s potential to bottom despite the recent price drop. The analyst added:
I think it will be a good buy once the press excitement is over.