In what many have perceived as unexpected news, Ethereum took a massive dive despite the successful Merge. ETH price dipped below $1,500 on Thursday, just as the news of the Merge broke out, and continues to fall.
The Merge is a massive overhaul of the world’s second-largest blockchain. It was in the works for years and after several delays, the developers were finally ready to deploy the new solution, going online at 6:43 a.m. UTC. It is a significant upgrade over the earlier version, as it allowed the Ethereum network to transition from an older proof-of-work system to a far more efficient proof of stake. Among other improvements, the network will now consume 99.99% less electricity for its daily operations.
Although some people are baffled by the dip after such an important technological upgrade, many experts say that Ethereum will keep on crashing after The Merge. For many investors, that was a cue to start looking for alternatives to ETH and one of the most attractive ones at the moment is Tamadoge, a new Play-to-Earn (P2E) platform that has been making a lot of waves recently. As the presale supply of TAMA dwindles, anyone thinking of adding it to their portfolio needs to hurry before it completely sells out.
What You Need to Know About Tamadoge
TAMA is Tamadoge’s native coin and the heart of its financial system. Many believed that it is just another memecoin when it was launched, but it turned out that TAMA is much more than that. Unlike major memecoins like Dogecoin and Shiba Inu, TAMA actually has a purpose and a utility outside of Internet memes.
TAMA is used for all transactions within the Tamadoge ecosystem. Players can use it to mint, feed, and train their digital pets, called Tamadoges. They can battle them against other players’ pets and each win and placement on the leaderboard will earn them Dogepoint, which can be exchanged for TAMA. Tamadoges come in a form of NFTs, just like their gear and various accessories, all of which can be bought and sold on the in-game marketplace. All this will create a strong demand for TAMA and provide it with a utility other memecoins lack.
Why Choose TAMA Over ETH?
The Tamadoge project is currently in the presale phase, which is going amazingly well. In just six weeks, the Tamadoge team sold more than 900 million TAMA tokens, raising $17.3 million for further development. With just 60 million tokens left, there is no doubt that the presale target of $19 million will be easily reached. It is one of the most successful crypto presales in history.
On the other hand, the Ethereum funding rate took a steep dive, ending up below zero for the first time since ETH was launched. Just before The Merge, the funding rate across various platforms dropped to just -0.6%, as investors massively shorted Ethereum. For many, it was a clear sign that ETH was in trouble and that it was time to bail on it.
Why Ethereum Keeps Crashing?
Immediately after The Merge, the Ethereum price remained flat at around $1,600, hovering there for hours. Then it started declining, falling sharply below $1,500, where it still is today. Many experts claim that this is a classic case of traders “buying the rumor and selling the news”.
Glassnode, a blockchain intelligence firm, reported encountering backwardation with both ETH options and futures. Backwardation is the occurrence of the future price of an asset that is lower than its underlying spot price and usually appears when a big short is in the works.
The rumors that many traders are trying to capitalize on The Merge were confirmed when it became known that the demand for ETH futures for October is very low. It was a clear sign that nobody expects its price to rise in the next two months and people started dumping it, creating downward pressure on the market.
Fortunately, none of these issues plagues Tamadoge and the project is moving ahead at full steam, hitting every stop on its ambitious roadmap ahead of schedule.
As established cryptos like Bitcoin and now Ethereum continue to struggle through September, many experts agree that the time has come to look for alternatives. One of the best such alternatives is Tamadoge, an emerging P2E platform that is breaking all records during its presale.