Hamster Kombat price declined by double digits as the once-popular tap-to-earn network lost momentum.
Hamster Kombat (HMSTR) traded at $0.001790 on Feb. 26, down over 87% from its all-time high. Its market capitalization has fallen to $116 million.
The token’s decline mirrors that of other tap-to-earn assets such as Notcoin (NOT), Catizen (CATI), and DOGS (DOGS), all of which have seen significant price drops. Even the recently airdropped Tapswap token has plunged by nearly 100%.
The price drop follows widespread selling from holders who received HMSTR tokens through the airdrop. The number of Hamster Kombat users has dropped from over 300 million at its peak to fewer than 12 million today.
To counter this decline, the developers are working to create utility for the token. They recently launched a layer-2 network on the TON blockchain, aimed at improving transaction speeds and lowering costs.
Hamster Kombat hopes that the new layer-2 network will attract game developers and expand the ecosystem. The network is powered by the Ton Virtual Machine, with all proof-of-record transactions posted on TON.
Hamster’s challenge is how to attract more developers to the ecosystem since TON Blockchain is not doing well. It has a limited DEX ecosystem and the number of users is falling.
Hamster Kombat is also banking on Season 2, which will introduce HamsterVerse, a new gaming experience designed to revitalize user engagement.
HMSTR price may surge by 260%
HMSTR has dropped from an all-time high of $0.014 to $0.0020. The token has recently formed a falling wedge pattern, characterized by a series of lower lows and lower highs.
A falling wedge consists of two converging downward trendlines, with a breakout expected as they near convergence. The Percentage Price Oscillator and Relative Strength Index have also formed a bullish divergence pattern, signaling potential upward momentum.
If Hamster Kombat breaks out, the price could rally to $0.0064, the highest swing level from Nov. 10, representing a potential 265% increase from its current price.
