As Match Day Nine kicks off in Doha, Qatar, the boiling hot conditions on the field are not enough to scare away the unwelcoming bears of the crypto winter. Most of the national football fan team tokens fell victim to enormous losses over the last 24 hours.
To illustrate, last night’s 1:1 draw between Spain and Germany injured Spain’s National Football Team Fan Token (SNFT) with 23.4% in the red since the game. As if that wasn’t enough, the Spaniards’ national football team cryptocurrency is looking at an eye-watering 62.1% weekly deficit in spite of Alvaro Morata’s spectacular goal in the ’62.
Chiliz (CHZ) Bleeds Further with Shrunk Market Cap
Chiliz (CHZ) powers Socios.com, the football fan token platform that hosts most of the national football team and club tokens. Since the beginning of the FIFA World Cup 2022, the football fan token powerhouse suffered a sharp decline from $1.45bn on Saturday, November 19th to $864 million today. Chiliz’s (CHZ) market price started performing on a strong bearish trend one day prior to the tournament’s kickoff.
The controversy surrounding the event might have led to the bearish trend. For instance, some fans who travelled to Doha, Qatar to watch their favourite national football teams play are not happy with the living costs and conditions. Meanwhile, human rights activists are turning the heat on organizers of the world’s largest sporting event. Finally, there’s a clash of perspectives between FIFA and Qatar, hence all of the football fan tokens are heavily affected.
Football Themed Cryptos Take a Beating
At press time, the 48th-ranked football-related cryptocurrency CHZ trades at $0.161808, dropping by 6.8% in the last 24 hours. Besides, it’s likely that the recent downturn in its market price is due to a ‘buy the rumour, sell the news’ type of event, according to Crypto Twitter. Speaking in technical terms, CHZ’s price is retesting a key support line, likely patterning a triangle on the charts.
On the other hand, official World Cup sponsor Algorand (ALGO) also had to face the music of the crypto winter with 10% in the red in weekly terms. At press time, 30th-ranked football-themed altcoin ALGO trades at $0.233442, according to CoinGecko. This signals a 5.4% decrease in the last 24 hours.
14. Several club and national football (soccer) teams launched their tokens on Socios, which is a fan engagement platform developed and powered by Chiliz. $CHZ was up 73.5% from Nov 10 - 18.— Miyavi Red (@MiyaviRed) November 28, 2022
FIFA partner Algorand ($ALGO) was also down this week. pic.twitter.com/zYJEi8Goit
On the Flipside
- The rising niche market of football fan tokens is frequently exposed to crypto scams.
- The rise of football-related phishing scams and rug pulls coincides with the popularity of the FIFA World Cup ’22.
Why You Should Care
According to a recent survey by KuCoin, 70% of crypto enthusiasts are following the FIFA World Cup 2022, with half of them investing in football-related tokens.
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