- Summary:
- In the past 24 hours, the Evergrow coin price has dropped by a percentage point, continuing a long-term bearish trend.
In the past 24 hours, the Evergrow coin price has dropped by a percentage point. However, the crypto, which has become popular within the deflation cryptocurrencies niche, has continued to make gains. In the last 30 days, it is only down by a percentage point, a better performance compared to other cryptocurrencies.
What is the Evergrow coin’s deflationary functionality?
Deflationary cryptocurrencies have continued to gain traction in the past few years. These types of coins promise price increases with time. To Achieve this, these coins start with a very high coin supply in circulation. However, as time progresses, the tokens are burned (destroyed) to reduce supply rather than add the supply to meet the demands.
In a normal supply and demand market, where the demand remains constant, reducing the supply usually means an increase in price. Therefore, the concept behind the crypto is meant to see deflationary prices continue to rise as more and more coins are burned.
Unfortunately, this has not been the case for the Evergrow coin price. On November 1, 2021, Evergrow hit its all-time price high of $0.00000005841. Unfortunately, the trading session also marked the beginning of a long-term downward trend that has resulted in prices dropping by 95 per cent since then.
Looking at 2022 data, the Evergrow coin has also continued to underperform in the markets. Despite the past one month being highly positive compared to other cryptocurrencies, the year-to-date data shows the crypto has lost over 85 per cent of its value.
Evergrow has faced a problem since its launch: the lack of listing on main exchanges. This has made its access hard and resulted in the current low trading volumes that rarely crack the $200,00 per day.
Therefore, putting together all these factors, I expect Evergrow to continue dropping in the next few trading sessions. There is a high likelihood that we will see it drop below the 1.40e-7 price level. There is also a high likelihood that despite the increase in burn rate, the crypto will continue struggling throughout the month.