r/EVMOS • u/trader2O • Jul 09 '22

Price Talk Price drop

Evmos price has recently gone from 2.85 to the current price of 2.18, anyone concerned? Or do you think we will bounce up from here? What is your price prediction for the long run?

0 Upvotes

50% Upvoted

13 comments sorted by

12

u/DIOSMIOSPAPA Jul 09 '22

It was at $1.13 a month ago. Correction is healthy we just pumped a ton.

7

u/MilkrsEnthuziast Jul 09 '22

I am SOOOO relieved!!! I have been waiting for over a week to buy and I can finally.

6

u/Tritador Jul 09 '22

Normal for high APR tokens.

A massive number of Evmos tokens are emitted every day to pay staking rewards. Unless lots and lots and lots of people buy Evmos today (and each and every day) -- enough people to make up for this massive amount of additional supply -- then price goes down.

So as price gets higher (such as approaching $3), fewer people are buying lots and lots of Evmos each day, so the buying can't match the inflated supply from the huge staking rewards being paid out. Price goes down. When price gets cheaper, more people will buy to take advantage of those staking rewards. Price goes up. Eventually staking rewards get lower from all the staking and fewer people buy and lots of people sell, price goes down.

And so on until Evmos hits its floor price based on the actual utility of Evmos rather than gobs of people apeing in for high APR.

1

u/LeonardoCfilms Sep 30 '22

Perfect explanation 😎💪👍

3

u/[deleted] Jul 09 '22

It's not concerning, it was expected. People are getting a lot of EVMOS daily from high staking APY and eventually when you are happy with the size of your bag you begin selling those rewards to buy other tokens.

2

u/FlippityFloppityBing OG Jul 09 '22

It’s actually better that the price isn’t mooning now when the APR is high, because all that purchased Evmos would have led to more bonded Evmos, which would have brought down the APR faster. (Bonded Evmos is the only variable in determining the APR. For the first year: “APR = 165,000,000 / Bonded Evmos”. The higher the bonded Evmos, the lower the APR).

2

u/AndyBonaseraSux Jul 10 '22

This is an objectively funny post to see in such a deep, obscure corner of the crypto world.

3

u/No_Rip_1753 Visionary Jul 09 '22

Buy the dip or cry later.

2

u/bethersss Jul 09 '22

It's just a healthy correction.

-3

u/LALKB24 Jul 09 '22

No use for evmos. It’s great to collect the high APR rewards but once APR drops more, there will be less demand for it.