- BLAST’s price gained 21.61% post-launch, reflecting strong initial interest despite valuation concerns.
- Market activity for BLAST surged, with a 486,363.56% increase in trading volume, showing high investor engagement.
- Bullish sentiment prevails for BLAST, with significant short liquidations and a long/short ratio favoring longs.
The launch of Blast, a new cryptocurrency token, has generated significant buzz despite a volatile start and concerns about its valuation.
The token debuted at $0.02, achieving a Fully Diluted Valuation (FDV) of $2 billion. Since its launch, the token price has experienced a 21.61% net gain, reaching $0.025634, outperforming many other high-profile airdrops.
Blast’s market debut was notable for its airdrop, which distributed 17% of the total token supply and initially caused a sharp price increase of 40%. However, the price later adjusted to $0.025634, resulting in a net gain of 21.61%. The token’s strong performance reflects the substantial interest in Blast, bolstered by its impressive growth in DeFi rankings.
According to its Q2 2024 report, Blast holds the 6th position in DeFi Total Value Locked (TVL) and ranks 4th among Layer 2 networks. Despite these promising indicators, Blast’s initial valuation of $2 billion fell short of some investors’ expectations.
Notably, Arthur Cheong, co-founder of DeFiance Capital, anticipated a valuation closer to $5 billion. This disparity between expectations and reality has led to some skepticism regarding Blast’s long-term potential.
Blast aims to establish itself as a comprehensive blockchain network, providing a user-friendly experience that surpasses existing solutions like MetaMask. The network has reportedly attracted significant deposits, totaling $2.3 billion between November and March.
Blast boasts over $3 billion in total value locked, 1.5 million users, and more than 200 live decentralized applications (dApps). Additionally, Blast claims to offer higher yield opportunities than any other chain.
Its seed investors have criticized the network for lacking features to justify a one-way bridging mechanism. Furthermore, the airdrop attracted a wave of scams, similar to issues faced by other airdrops this year, such as zkSync (ZK) and LayerZero (ZRO), both of which experienced significant price drops post-launch.
Despite the initial challenges, market activity for the BLAST/USDT asset has seen a dramatic increase. Trading volume surged by 486,363.56% to $1.83 million, and open interest rose by 10,401.86% to $125.08K. The 24-hour long/short ratio is slightly above 1, indicating a marginal preference for long positions. Liquidation data reveals significant losses for short positions across various time frames, suggesting a bullish market sentiment.
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