Hamster Kombat futures were trading pre-market in a tight range as speculation mounted for upcoming airdrops and trading.
Hamster Kombat (HMSTR) token was trading at $0.011 on Sunday, September 22 as the airdrop countdown continued. It is down more than 96% from its high point this year.
Hamster Combat Airdrop is Coming!
This price action occurs as the Hamster Kombat team prepares for an airdrop, which is expected to take place on September 26.
Analysts believe this will be one of the biggest airdrops this year due to the popularity of Hamster Kombat.
Over the past few months, the earn-by-click platform has attracted over 300 million global users. The platform has a popular YouTube channel, having amassed over 37.6 million subscribers since its launch in May.
Her videos have been viewed over 1.1 billion times.
Hamster Kombat’s X and Telegram accounts also have millions of active users. This number is growing as users earn HMSTR tokens when they follow and interact with its platform.
The Hamster Airdrop will allow fans to collect HMSTR tokens, converting them into fiat currencies.
HMSTR token faces significant risks
Historically, most tap-to-earn tokens have often risen in value and then dropped after the airdrop. Notcoin (NOT), a popular platform with over 40 million users, initially surged to a high of $0.02925 before falling by over 80% to $0.0078 currently.
Similarly, Pixelverse surged to $0.1745 shortly after its launch, then collapsed by over 90% to an all-time low of $0.0070.
Recently, Catizen (CATI) stock rose to a record high of $1.20, then declined by more than 26% to the current $0.87.
The main challenge that click-to-earn and play-to-earn platforms face is how to keep users engaged in the ecosystem, especially when the tokens are not performing well.
Some of the most popular monetization tokens like Decentraland, Sandbox, Gala, and Axie Infinity have fallen sharply from their all-time highs as the number of users in their ecosystems has declined.
Decentraland’s market cap dropped from around $7 billion in 2021 to $576 million while Axie Infinity went from over $10 billion to $749 million.
Monetization platforms like Sweatcoin and StepN, which were hugely popular before the airdrops, have seen a sharp decline. Their market caps have dropped to $58 million and $348 million as activity on their networks has declined.
The challenge is to allow people to get more involved in the network when the token is not performing well. Therefore, there is a risk that the Hamster Kombat token will initially rise in value and then decline as the hype dies down.