The Ethereum-based Basic Attention Token (BAT) crashed recently after the hype around it’s listing in the popular Coinbase platform. During last 30 days, the digital currency grew more than 100%. Its price moved from $0.175 in mid October to $0.375 dollars in November. Nevertheless, BAT is currently being traded for $0.22 dollars. BAT tokens were selling for 25 cents on November 1st, but quickly gained a nickel. That was expected now. because the news about the Coinbase Pro launch and BAT listing excited a lot of people. Experts believed that BAT tokens would easily reach a new all-time high, which will surpass the 60 cents per token record. However as we now know, the after the Coinbase listing, BAT lost a lot of value. This can be explained with the mindset that Investors have.
Basic Attention Token met the people’s opinion
The primary effort behind Basic Attention Token is another interesting project. Brave is a browser, which rewards users for enabling ads. The browser of course has all ads disabled as its default settings. With Basic Attention Token tokens having real-world value assigned by the traders, they benefit from both the viewer and the content provider. Back in 2017, Brave enabled them on YouTube videos and a few weeks before the Coinbase Pro listing, the token registered a rally. It’s up to speculation whether or not the increase is due to the increased expose of the project entering beta, or simply research information slipped somewhere. However, the biggest reason behind Basic Attention Token’s crash, was the Investor mindset. When the news came, investors’ hype increased and everyone started buying BAT Tokens for quick profits.
When the news emerged about the Coinbase listing, you can see on CoinMarketCap that BAT’s volume increased by a lot. This trading strategy isn’t new and it’s used a lot in ICO investments by dumping the token as soon as you can for profit. Also, BAT’s volume increased by a larger margin when the price started dropping. An overwhelming selling ensued, which resulted in BAT’s decline. Still, a lot of investors made money, but those that don’t know this strategy and bought at the listing probably regret it now. Cryptocurrency prices are largely affected by the Investors’ will, that’s why the cryptocurrency market is the free market. Investors’ mindset is something to keep in mind when you are investing in crypto market.
Brave is based on Chrome and already has millions of users. The browser heavily discourages bad website coding and tracking. With current market share reports on browsers not sufficiently differentiating user agents, it’s hard to estimate how many people are actually using the browser. Nevertheless, as Brave’s market share grows, so will the BAT token’s native utility. This will inevitably lead to an increased demand.
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