Uncertainty in the crypto market continues, volatility is strong. One of the biggest examples of this situation is experienced with the Hamster Kombat token. The token, which was launched a few days ago, was introduced with great excitement and expectation. Although experts predicted huge gains after the launch, the HMSTR price followed the opposite course, losing more than 38% of its value.
HMSTR Dropped 38%
Hamster Kombat (HSMTR) was listed on popular crypto exchanges including Binance on September 26. But during the listing period, we saw things that caused unrest within the community. Especially the last-minute introduction of the anti-cheat mechanism a few days before the listing disappointed millions of users. This caused the HMSTR hashtag to trend on the X platform for days and receive constant reactions from its followers. The fact that the HMSTR price has fallen by more than 38% in the last six days has further increased user dissatisfaction.
The token experienced a short-term rise immediately after launch, reaching as high as $0.01004, but quickly fell back. Currently, its value is down 46% and is trading at $0.005411. Consistent with its popularity, HMSTR token volume is also increasing. Even if the transaction volume decreased by 35% in the last 24 hours, it is at the level of 157 million dollars and this is a good number. However, a decline in price while volume is strong is not a good sign.
In the NOT and DOGS examples, we mentioned that a deep bottom may occur here, similar to the decline that follows the first wave rise. The warning we made at the time of listing was met.
Technical Indicators and Their Future
Users who received airdrops are disappointed with the token distribution and price performance. Hamster Kombat ranks 162nd by market cap and continues to trade with a market cap of $348 million. The circulating supply accounts for 64.38% of the total supply, which creates a positive impact in terms of liquidity.
Despite its high market capitalization, the downward trend continues for HMSTR. Technical indicators show high selling pressure on the token. Since the Relative Strength Index (RSI) is in the oversold zone, it can confirm that the downtrend is continuing. Under normal circumstances, this situation may open the door to a trend reversal in the future. Coinglass futures open interest rates increased by 6.76% in the last 24 hours, which is a positive sign.
Other technical indicators, DMI, ADI and the like, confirm the current downtrend but also point to the possibility of a reversal. However, having such reaction sales before the start of the second season is not good for the medium and long-term future.
Even though Hamster Kombat is one of the most popular Telegram tap-to-earn games, attracting more than 300 million users, the HMSTR price has lost 38% of its value since its launch. Although technical indicators point to bearish trends on the token, they say that recovery may be possible if the selling pressure decreases in the long term.
As a result, although Hamster Kombat has a large user base, its token performance continues to fall below expectations. Investors can evaluate the future performance of the token by following technical indicators.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
