The pseudonymous host of crypto YouTube channel Coin Bureau says one Ethereum-based gaming altcoin is primed to surge in the coming weeks.
SAND is the native token for The Sandbox, an Ethereum-based virtual world that allows fans of video games to build, own and monetize their gaming experiences. SAND is the 63rd-ranked crypto asset by market cap, trading at $3.36 at time of writing, up more than 33% in the past seven days.
Guy still thinks the gaming altcoin has room to grow.
“SAND seems to be pretty overextended, but it’s not crashing nearly as quickly as I expected. In fact, it looks like its uptrend is scheduled to continue.
This is for a few reasons: First, NFTs. As I mentioned a few moments ago, NFTs from the Sandbox are some of the most traded of any NFT collection. Many of these purchases are being made in SAND, which creates demand.”
The pseudonymous analyst also notes that SAND’s mid-sized market cap means it will take less cash to push up the price relative to larger metaverse cryptos such as Axie Infinity’s AXS.
Guy also argues that SAND’s tokenomics are “robust.”
“SAND has a maximum supply of 3 billion, its initial and current distribution is solid, and its vesting schedule is evenly spread out.
Now that said, it’s worth pointing out that we are approaching another vesting cliff that’s set to begin in December. This will see another 300 million SAND unlocked and potentially sold on the open market. The last vesting cliff happened back in July and it seems to have suppressed the price of SAND around that time. This means we could see the same thing happen again come December 1st.
Now, even so, SAND’s technicals are looking good, and that’s the fourth reason why it might continue moving to the upside. If my measurements are correct, we could see SAND rally by 2x in the coming weeks, assuming the rest of the crypto market doesn’t crash, of course.”
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