The Moonshot Of 2021
After experiencing an amazing run last year, Torum’s XTM token seems to be suffering an enormous blow that appears to have no end. Many probably thought that the token would perhaps bottom at $0.25 and then begin a slow ascent but that has not been the case. Not even the $0.19 zone has been able to provide any meaningful support, as the price has edged as low as $0.16 today. Considering that XTM was trading as high as $2.50, it is rather concerning to see. Torum rose to fame in 2021 when two very large Crypto exchanges partnered with the platform. Strategic partnerships with both Kucoin and Huobi were formed during the course of 2021, which helped to bolster the price and create a fair amount of hype.
The token entered the market at $0.05 and managed to break $2.50 within months. However, the hype soon faded and the party came to an abrupt end. Unfortunately, this was at the same time that the market took a solid nosedive, sending alts into double-digit losses.
Ideally, the token needs to find a bottom in order to find stability, or even better yet, begin regaining ground. In order for XTM to reach its recent high, the token would need to rally 15X from the current price. This is an enormous ask by any standards and may leave peak buyers feeling rather despondent. What will it take to see XTM rally back up to $0.50 and above? That is the question that every XTM holder is currently wondering asking themselves. Unfortunately, sometimes patience is the only way forward, especially when Bitcoin is not doing much. The market remains in a state of limbo between $38K and $44K. A fresh rally in the Bitcoin price would obviously be of great help and possibly act as a catalyst to push XTM back over $0.25!
At this point in time, it does however appear to be a game of patience, as the XTM price has failed to respond positively to a new partnership announcement. Torum will be working together with Dreamverse to build their next-generation SocialFi. Dreamverse is a metaverse-based project focusing on NFTs and digital art.
Partnerships Need To Produce
Establishing partnerships is one thing but investors need to see the fruits or manifestations of these partnerships in order to solidify confidence and ultimately push the price higher. All the hot air has now escaped and Torum needs to deliver. Once we begin to see this taking place on a measurable scale, I believe the price will begin to respond slowly. Unfortunately, I do believe that it will be a slow return to higher prices but I am very open to being incorrect. Like most, I would welcome a significant move to the upside at any time. Historically, the team has endeavored to focus on getting things done correctly, as opposed to prematurely launching features. However, there will always be teething problems no matter how well you plan and prepare.
In-House Staking & Further Utility
Although Torum does have a DeFi angle as well, it would be great to see some in-house staking opportunities similar to what we saw in December of 2021. Single asset staking is a lot safer than DeFi farming pairs and would encourage users to hold their XTM, rather than simply offload their tokens for BUSD, or any other Crypto. Creating new and exciting use cases for XTM would actually help significantly in reducing sell pressure and further encourage the purchase and acquisition of XTM. Currently, XTM can be used to gift other users, as well as liquidity farming.
Incentivizing Hodling Works!
I firmly believe that the initial staking offered on Torum in December was instrumental in restricting selling pressure and subsequently assisting XTM to reach the highs that it did. It would be an interesting experiment to launch another staking vault and then to closely monitor the price performance over the allotted time frame.
Torum has managed to attract some very powerful and influential names in the Crypto space. This is evidence that they interpret value in the project and are therefore willing to partner and be associated with Torum. The market is now in a season of observation. It is now imperative that value and progress continue to be seen by investors, which would ultimately trigger the next rally in my opinion. As usual, these are merely my own thoughts and perceptions of XTM and the Crypto market as a whole.
Thanks for the visit and for taking the time to read. Hope to see you again soon!
First of all, I am not a financial advisor. All information provided on this website is strictly my own opinion and not financial advice. I do make use of affiliate links. Purchasing or interacting with any third-party company could result in me receiving a commission. In some instances, utilizing an affiliate link can also result in a bonus or discount.
This article was first published on Sapphire Crypto.
Comprehensive list of referral links for platforms & opportunities I utilize to generate daily Crypto income.