Airdrops often create initial hype, leading to price surges. However, the long-term value of these tokens depends on the project's real-world utility, the team's progress, and community adoption.
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Lock-up periods reduce immediate sell pressure, maintaining price stability. However, once the tokens unlock, a surge in available supply can impact liquidity and cause price fluctuations. Balanced vesting schedules help stabilize market flow over time.
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Token price stability is an important factor in assessing a project's viability. Start by looking at the token's price historyβhas it experienced extreme volatility or has it shown steady growth? A stable token price often indicates consistent demand and a well-balanced supply. Review the projectβs tokenomicsβare there mechanisms in place to stabilize the price, like staking, burning, or liquidity pools? Also, examine the broader market conditions, as a token's price may fluctuate due to external factors. Projects with strong fundamentals, transparent operations, and real-world utility tend to have more price stability in the long run.
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