Otherside, the anticipated metaverse backed by Bored Apecoin Yacht Club (BAYC) creator Yuga Labs, just raised 300+ million dollars in NFT Land sales after its release. Deeds of 55,000 virtual lands were made available on April 30, 2022 and were sold for approximately $6,500 dollars. The only way to buy these digital lands is with Apecoin ($APE), so it should be expected that the value $APE would continue to rise due to Otherside’s release. Truthfully, that is exactly what happened from April 18 – April 27. During those few days, Apecoin went from ~$12 dollars to its peak of ~$28 dollars. In addition, Google trends shows that word “Apecoin” reached its highest peak of interest on April 28, the same day that $APE reached its highest value of ~$28 dollars according to Kucoin’s charts.
“Apecoin” web popularity for the past month
When calculating Apecoin’s market cap (price X circulating suppy) during its peak, we find that Apecoin was ranked #23 on Coinmarketcap. Which placed its market cap above other metaverse related tokens such $SAND, $MANA and $AXS. Although apecoin is a fairly new metaverse token, the fact that it has surpassed its competitors in terms of market cap is a huge feat. This shows that $APE has a lot of interest in the metaverse space. In fact, there was so much interest and frenzy around $APE and the sale of virtual lands for Otherside that Ethereum ended up crashing.
However, the Apecoin hype did not continue. After reaching its peak of $28 dollars, $APE started to dump and now on May 2, 2022 stands approximately $14 dollars which is a 50% loss of value from its peak of $28 dollars. The old adage “Buy the rumor, sell the news” rings true; it’s not uncommon for buyers to jump on the bandwagon of a crypto that has a future project in the works and later, during the release of the project, sell their stake of said crypto on the market. In this situation, buyers pumped the price of $APE knowing that Otherside would be released on April 30th and then dumped their $APE tokens close to Otherside’s release date. The losers in this situation, are the unsuspecting buyers who bought Apecoin at the top and now are looking at their portfolio declining in value.