- South Korean NFT game stock price plummeted amid Bitcoin severe crash.
- The incident was driven by the Omicron variant of Covid-19, according to the report.
- Metaverse, Decentraland’s MANA, and Axie Infinity’s AXS were also affected.
According to a report, amid the Bitcoin severe crash last Friday, South Korean NFT gaming shares also plunged severely in the NFT space. Now, people are in serious doubt whether the overall NFTs and the likes of blockchain are affected.
Over the weekend, Bitcoin (BTC) price experienced huge volatility, wherein it plummeted over 20% in the market. The downtrend further influenced its overall price, making it drop below $50,000. Based on the report, the BTC rally this time around was due to the global market downturn driven by the Omicron variant of Covid-19.
The news further asserted that the surrounding fears and uncertainty by China’s Evergrande may be the course of the rise of US inflation in respect of the Omicron variant of Covid-19.
Professor of Business at Sejong University Kim Dae-jong said,
People moved their money away from risk equities into the safer U.S. dollar as they expected the U.S. to begin its tapering next March.” There is original value in NFTs and the metaverse, and that value has already been widely acknowledged. Anything well-crafted will continue to survive no matter the circumstances.
Apart from Bitcoin, other blockchain techs including metaverse, Decentraland’s MANA, and Axie Infinity’s AXS were also affected heavily. Their market cap value declined to over 20% at that time. Meanwhile, BTC, AXS, and MANA began to recover this week.
At the time of writing, only the South Korean game stock prices haven’t recovered yet. Many hope for their quick recovery soon as they have jumped into NFT and metaverse. To cut a long story short, shares of other NFT-based games including Gamevil, Kakao Games, and Pearl Abyss also dropped by 30.9%, 22.3%, and 18.7%, respectively.