How the market reacted to FLOKI Inu’s Metaverse addition

• Speculation around the token dropped despite being put in its “rightful” place.
• FLOKI holders made some unrealized profits due to its 24-hour hike.

Contrary to what the Floki Inu [FLOKI] team might have expected, its announcement of Binance’s decision to add the meme to the Metaverse section did not come with widespread elation. 

How much are 1,10,100 FLOKIs worth today?

As a cryptocurrency that gained significant attention due to its association with Elon Musk’s tweet about his new Shiba Inu puppy, FLOKI added an NFT gaming metaverse project as one of its utilities. 

Joining the category sparked no joy

This prompted the world’s largest exchange Binance to add the meme in the category where Decentraland [MANA], Axie Infinity [AXS], and the likes thrived. Interestingly, the same exchange listed FLOKI as a trading pair three weeks back.

According to the FLOKI team, this could help with token adoption because of the growing trend in the NFT and gaming crypto sector. 

However, the announcement failed to create a buzz as revealed by the social volume. The social volume considers the degree of discussion around a certain cryptocurrency at a particular period. 

But Santiment’s data showed that FLOKI’s social volume hovered around the same low region between the period of disclosure and press time. This implies that there was little to no hype or speculation around the token.

Like the social volume, FLOKI’s weighted sentiment also remained in the negative region. As shown above, the weighted sentiment was -0.536.

Source: Santiment

When the weighted sentiment is largely positive for any asset, it suggests users mention about the token is averagely optimistic. But in FLOKI’s case, the negative value indicates mostly gloomy commentaries about it.

Bumpy sail for the captains

Furthermore, the 24-hour active addresses also painted a gloomy picture. Even with the opinion that it might improve trading volume, the active addresses remain defiant of the projection. 

Active addresses show the daily level of crowd interaction or speculation with a token. To arrive at this count, the metric considers the number of unique addresses that participate in the transfer of a token.

Therefore, the decrease means that there have been fewer deposits via the FLOKI network compared to the previous days.

However, the seven-day Market Value to Realized Value (MVRV) ratio exited the negative region and rose to 3.3%. The MVRV ratio indicates whether a cryptocurrency is above its market value or below its perceived value.

Realistic or not, here’s FLOKI’s market cap in SHIB terms

Thus, the spike in the metric indicates that there has been a wave of unrealized profits lately. And this could be linked to FLOKI’s 4.99% uptick in the last 24 hours.

Source: Santiment

The upward direction of the metric does not entirely reflect that the token has hit a local peak. At the same time, it’s no guarantee that it’s a period of accumulation.