Bitcoin has been on the decline for several days, but it is likely to recover this week. When that happens, keep an eye on Theta; its momentum may continue even if Bitcoin’s upward trend fades.
Theta, a decentralized cryptocurrency, is down 3.49 percent today after briefly crossing the $4 mark (THETA/USD) yesterday. Theta’s current price is $3.87, the lowest it’s been since June of last year.
Following its recent downward movement, some investors are forecasting a breakout from Theta, with a wedge shape that might ignite into a bullish trend.
Theta’s Crucial Moment
Multiple cryptocurrency projects saw a roller coaster ride in 2021, however as is typical of the cryptocurrency industry, many tokens achieved new all-time highs before fading as investor interest faded and traders moved on to newer pastures.
Theta is currently in a bear market, with prices at their lowest in months. This could be a critical period for Theta as it attempts to turn around. Theta went down again last weekend, and it is still trending down, but many investors believe it will shortly rocket upward.
Please remember that Theta was trading at $14.28 in April, when the market was at its peak. However, other cryptocurrencies, especially Bitcoin, have surpassed their April highs, with Bitcoin just hitting a new all-time high. Because it isn’t the only crypto to do so, there’s a potential Theta will revert to, if not exceed, its earlier high.
While Theta has recently traded between $4 and $5, it has struggled with the $6 level, which we expect to be resistance if it decides to become bullish. Theta is trending in the same direction as Bitcoin, which is also down today (2.61 percent ). Before being bullish, Theta may wait for Bitcoin to go bullish, which might happen very soon.
Three reasons to be bullish about THETA in 2022
ThetaDrop will be available on February 1st
The full launch of ThetaDrop NFT marketplace will be one of the most significant breakthroughs for Theta in 2022. On February 1, the TDrop governance tokens will be airdropped to members of the Theta community.
ThetaDrop will not hold a token sale and will instead distribute its 20 billion token supply over a four-year period to community members that offer NFT liquidity mining or stake THETA, TFUEL, or TDRop on the network.
Aside from the expected launch of ThetaDrop, the network has seen a number of new projects arise on its blockchain, including the OpenTheta NFT marketplace and the Voltswap DeFi platform, which allows Theta-based assets to be traded.
Protocols like Meter Passport and ThetaBridge enable asset bridging between Theta and other Ethereum virtual machine (EVM) compatible networks.
Access is improved through staking
Another potentially bullish reason for Theta and its TFUEL utility and gas token is improved staking access.
To run a guardian node and help safeguard the network, users had to stake at least 10,000 THETA when the network originally opened. The needed minimum was eventually reduced to 1,000, but due to Theta’s price surge above $14 in early 2021, most token holders were unable to achieve this criteria as well.
This prompted the emergence of services such as GPooL and, more lately, Thetaboard, which allows THETA and TFUEL holders to stake for a fee.
Thetaboard recently developed its own NFT store to cater to the developing NFT ecosystem, which includes limited-edition NFT collections from celebrities such as Katy Perry.
Gaming on the blockchain and video streaming are still developing industries.
The protocol’s focus on expanding blockchain-based video streaming and gaming, as well as its present relationships with Samsung and Sony, are three further reasons to be enthusiastic about Theta in the future.
Gaming was one of the crypto ecosystem’s breakout sectors in 2021, and the trend seems to continue in 2022 as blockchain technology moves closer to general use.
By watching community members play these games like League of Legends or The Witcher 3: Wild Hunt, users of the Theta.tv interface can win incentives. Non-gamers can watch, participate in, and earn by viewing NASA or the World Series of Poker channels.