Warning! The Sandbox (SAND) price could have a major meltdown soon
The Sandbox price is in an unstoppable rally as demand for metaverse cryptocurrencies jump. The SAND token price is trading at an all-time high of $7.045, which is about 5,167% above its lowest level in June this year. This growth has pushed its total market capitalization to more than $6.4 billion, making it the 36th biggest cryptocurrency in the world.
Metaverse tokens rally
The Sandbox is not the only metaverse currency that is surging. My Neighbor Alice has jumped by more than 650% since June this year. At the same time, cryptocurrencies like Enjin Coin and Decentraland have all rallied by triple digits recently. They have outperformed currencies like Bitcoin and Ethereum.
This performance is mostly because of the overall demand for cryptocurrencies that have a metaverse, gaming, and non-fungible-token (NFT) angle.
Another reason why the SAND price has jumped to an all-time high is that the developers will soon start the Alpha event on Monday. This is an important event that will see about 5,000 players earn 1,000 SAND. At the current price, this SAND is worth more than $7,000.
Sandbox price has also rallied after the developers raised $93 million from a group of investors earlier this month. The capital raise was led by investors like Softbank, Galaxy Interactive, Animoca Brands, and Liberty City Ventures. The developers will use these funds to boost its growth by supporting creators in the ecosystem.
For starters, The Sandbox is a user-generated game that anyone from around the world can play. Users can create their virtual universe and launch their virtual stores. Most products sold in this universe are in the form of non-fungible tokens.
The Sandbox price prediction
In a SAND forecast I wrote last week, I noted that the coin would keep rising ahead of the Alpha event. Besides, for people to participate, they need to own some SANDs. I also noted that the fear of missing out (FOMO) was setting in.
This prediction was accurate as Sandbox price has continued rising in the past few days. Now, after rising above $5, the next key resistance level to watch will be at $10. It will likely hit this level ahead of the event.
However, buyers should be warned about a concept known as buy the rumours and sell the news. This simply means that the coin could have a major pullback that will likely happen after November 29th.