Dystopia often has its day, and today, it’s in the world of non-fungible tokens (NFTs) and ApeCoin. ApeCoin, a crypto token closely associated with the notorious Bored Ape Yacht Club (BAYC) NFTs, has experienced an unforgiving plunge to a record all-time low. But what exactly is causing the Apecoin crash?
The digital coin’s downfall started only a few months after it was launched by Yuga Labs, the same creators behind BAYC. Yuga Labs initially gifted ApeCoins to Bored Ape holders, setting the scene for a hopeful future. However, the recent downturn has given this narrative a grim plot twist.
ApeCoin and BAYC – A strong Correlation in Prices
BAYC is not just any NFT collection; it’s an online community that has managed to solidify its position in the digital art world. Each NFT gives its owner access to a range of exclusive benefits, including parties, online platforms, and of course, a generous amount of ApeCoins. But as the value of ApeCoin spirals downwards, it seems to be taking the value of the Bored Ape NFTs along with it.
Why is ApeCoin Crashing?
When ApeCoin was first launched, it opened trading at $6.20, which was seen as an impressive start. Nevertheless, as the crypto markets continued to exhibit their typical volatility, ApeCoin was no exception. The token’s value dipped below $2 for the first time, sinking as low as $1.8. This translates to a staggering +80% drop from its all-time high, reflecting a severe bearish sentiment.
Bored Ape NFT Values Follow Suit
As ApeCoin’s value sinks, so do the prices of the Bored Ape Yacht Club NFTs. The floor price for these coveted digital assets has shrunk by a whopping 40% in a single week, dropping from a steady 38 Ethereum to a disappointing 22.5 Ethereum. This downward trajectory mirrors the downfall of ApeCoin, suggesting a correlation between the two.
Apecoin Crash: A Future Still Unwritten
Despite this disheartening development, the question remains: What’s next for ApeCoin and Bored Ape NFTs? While the current situation paints a bleak picture, it’s crucial to remember that volatility is inherent in the crypto and NFT market. There’s no telling whether this crash is a temporary setback or a sign of a more enduring downtrend. One thing’s for sure: The digital art space and its stakeholders will be eagerly watching.