Pixelverse [PIXFI] skyrockets 360% in 24 hours: Assessing the reasons why

• Pixelverse is rewarding gamers with 30% of its total token supply.
• The token’s popularity is reportedly taking off, but the long-term impact is sharply dependent on sentiment and engagement.

Pixelverse [PIXFI], a non-fungible token (NFT) and game ecosystem on The Open Network [TON] launched its native token PIXFI on the 18th of July. PIXFI has gained close to 360% over the past day, with likely more to come.

PixelTap by Pixelverse is the viral Telegram game that launched in March 2024 and reportedly added 50 million users to its player base in June.

The airdrop rewards its community and players with NFTs of varying rarity based on their level and quest completion for Pixeltap and Dashboard players.

Is this gaming ecosystem airdrop a breath of fresh air?

In a post on X (formerly Twitter), Pixelverse announced that Pixeltap and Dashboard users will receive NFTs on the 18th of July based on their engagement levels.

These NFTs will be claimable a week later on the 25th of July, 12:00 UTC.

Holders of rare, epic, or legendary NFTs will immediately receive an airdrop amounting to 10% of the total supply of PIXFI, to reward their early support.

An additional 20% will be rewarded to users to incentivize the use of Pixelchain, the EVM-compatible Layer-2 for the TON blockchain.

The airdrop documentation revealed,

“Although early airdrops were seen as a way to reward real users and were welcomed by the community, farming and sybil attacking have since taken over amongst industrious users, and airdrops these days usually lead to community outrage and negative price action on tokens.”

This drew inspiration from the concept of battle passes and traditional venture capital earnout provisions, they added.

What’s after the airdrop?

With a market capitalization of $355.7 million, PIXFI is listed on several centralized exchanges such as Bybit, HTX, Gate.io, and Bitget. Pixelverse closed a round of funding in May with $5.5 million raised to fund the gaming ecosystem.

Source: PIXFI/USDT on TradingView

The short-term technical analysis shows the prices can go much higher. It is dependent on social media hype and the subsequent demand. There could be an influx of selling pressure after the 25th of July, when the tokens can be claimed.

Realistic or not, here’s PIXFI’s market cap in BTC’s terms

The utility of the token and the popularity of the Telegram game PixelTap are key factors. They would be determining whether PIXFI will have a sustained bullish run.

Market-wide sentiment can also change if Bitcoin [BTC] prices do something dramatic, bullish or bearish.