The Chiliz price has tension surrounding it for the past few months as investors have concerns about the market size of the fan token industry. It is trading at $0.1751, 82% below its highest while its market capitalization fell to about $940 million.
Fan Token Industry Struggles
Chiliz is a leading blockchain network that previously performed well upto a peak of $2billion market capitalization. It was in the top 50 list of currencies though its currently ranking near 100 valued below $1billion.
Chiliz is slightly unique than most blockchains as it not only targets the broader market, but focuses on the massive sports industry. For instance, soccer has over 4 million fans globally while Formula 1, NFL and tennis are popular to millions.
Hence, its network increases teams and fans interaction with the aid of fun tokens, which enable fans to take polls on affairs and be rewarded.
The idea was great only that the past few months have indicated a dissapointing market opportunity. For example, 62 teams have partnered with Chiliz and activated their tokens.
Nonetheless, the total market valuation of all fan tokens is $362 million, which appears large but its substantially lesser than other block chain industries like NFTs and Decentralized Finance (DeFi). Concurrently, the price of most tokens fell sharply from their highest levels.
Therefore, there are worries that the Chiliz price migh not improve if the token industry remains underwater.
Chiliz Price Prediction
The daily chart indicates that the Chiliz Price has dwelt on bearish trend, trading at $0.175, which is 82% below its hughest. Along the way it moved below the 25-day and 50-day moving averages.
It also crossed the significant support level at $0.23, which is the lowest level in September and December last year. Oscillitaors like the Relatve Strength Index (RSI) have also been less. Hence the path of the least resistance for the pair is to the downside.