Hamster Kombat (HMSTR) Token Plunged by Over 30% Following Its Much-Anticipated Airdrop and Token Listing

Hamster Kombat (HMSTR) crashed to $0.0088, bringing its total valuation to over $574 million, making it the 110th largest cryptocurrency.

Hamster Kombat (HMSTR) has finally seen its token hit centralized exchanges, and the results are in: the token crashed by over 30% shortly after launch.

According to data from CoinGecko, the HMSTR token plunged to $0.0088 at press time. This brings Hamster Kombat’s total valuation to over $574 million, making it the 110th largest cryptocurrency.

The opening price also fell significantly short of the pre-market futures high of $0.3865. Despite this, Hamster Kombat is still among the largest cryptocurrencies to be listed in 2023.

Binance, OKX, MEXC, Gate.io, Woo, and KuCoin are among the large centralized exchanges where Hamster has been listed. Binance also launched an earn program, where participants will stand a chance to win 100 million HMSTR tokens.

CoinGecko data also shows that Hamster has a maximum supply cap of 100 billion tokens. Out of this total supply, over 64.3 billion HMSTR tokens are in circulation.

This massive sell-off likely occurred as many airdrop recipients began selling their tokens. However, those who participated in the airdrop will still need to wait before they can withdraw their tokens.

“On-chain is on ✅ On-chain direct claim and balance withdrawal options are open. You can now transfer your tokens anywhere!” reads a recent tweet from Hamster Kombat.

Hamster Kombat is smaller than Notcoin (NOT)

Hamster Kombat’s market cap is smaller than that of Notcoin (NOT), the first tap-to-earn token to be listed on a major exchange.

At press time, Notcoin has a market cap of over $871 million, ranking it as the 98th largest cryptocurrency.

However, Hamster Kombat has a larger ecosystem than Notcoin fundamentally. While Notcoin has managed to tap over 37.6 million YouTube subscribers and 14.3 million followers on X, Hamster boasts over 300 million players.

Another key fundamental difference is that Hamster has over 35 million tokens locked, while all of Notcoin’s 102.4 million tokens are in circulation. This could pose a risk to Hamster if a large portion of these locked tokens begin hitting the market.

The biggest short-term risk for Hamster will be increased selling by millions of people who have accumulated billions of tokens over the past few months. Typically, newly listed Telegram tokens do experience a decline shortly after launch.

For instance, Catizen (CATI) initially jumped to $1.150 after launch but has since dropped by over 38%. In the same vein, both Notcoin and Pixelverse experienced double-digit declines from their all-time highs.

On the positive side, Hamster Kombat’s airdrop happened at a time when most cryptocurrencies are rising. Bitcoin (BTC) rose to $0.00647K while the total valuation of all coins rose by 3.7% to $2.26 trillion.

Other highly anticipated tokens have also disappointed in the past. For example, Sweat Economy has dropped by 94% from its record high, despite Sweatcoin having over 50 million users before the SWEAT token airdrop.