Renewed interest in the Metaverse sends Decentraland (MANA) price 75% higher

  • February 5, 2022

MANA price booked a 75% bounce off its swing low as interest in the Metaverse is rekindled.

The influence of blockchain technology on the ongoing digital revolution cannot be overstated as the rise of the Metaverse and the integration of virtual reality is transforming the way humans interact on a global scale. 

One project that is beginning to gain traction in its effort to bridge the old world with the new is Decentraland (MANA), a virtual reality (VR) ecosystem built on the Ethereum network that allows users to create, engage with and monetize digital content through a variety of interactive experiences.

Data from Cointelegraph Markets Pro and TradingView shows that over the past two weeks, the price of MANA has climbed 70% from a low of $1.70 on Jan. 22 to a daily high of $2.90 on Feb. 1 as the wider crypto market struggled under bearish pressure.

MANA/USDT 1-day chart. Source: TradingView

Three factors that indicate a positive future for the Decentraland ecosystem are the integration of real-world companies into its virtual landscape, a growing ecosystem of celebrities and influencers that are building on the protocol and improvements to the user interface that helps improve the overall user experience.

Merging physical and virtual worlds

“If you build it, they will come,” is a well-known phrase from the movie Field of Dreams and it appears as though the old adage has begun to work for Decentraland as its not just everyday users, but established, globally recognized brands that are laying claim to virtual real estate.

As nonfungible tokens (NFTs) exploded in popularity in 2021, some of the digital collectibles found their way into auctions at established auction houses like Sotheby’s where they fetched multi-million dollar bids.

Sotheby’s has now become a fixture in the digital crypto ecosystem by establishing a virtual auction house in Decentraland where they continue to break down the barrier between the physical and the digital world.

And it’s not just auction houses that are buying up virtual land, businesses from various sectors are following the trend to remain relevant with the younger generations as the Metaverse becomes a reality.

Celebrities and influencers embrace the Metaverse

Another reason to be bullish on the future of virtual land projects like Decentraland is the adoption of celebrities and influencers who are looking to establish their brands in VR.

As well-known artists and creators build out their presence in the virtual world, their fan base will be increasingly exposed to the possibilities of blockchain technology and VR, which has the potential to usher in a new wave of adoption.

Proof of this comes from events like the Metaverse fashion week in Decentraland, which attracted the attention of companies like Vogue Magazine for its ability to showcase the latest trends in fashion to audiences around the world.

Related: Rise of Web3: Metaverse tokens surge as Meta’s share price plunges

The “user experience” continues to improve

A third factor helping to attract users to Decentraland are the improvements to the users’ experience and an increasing number of cross-platform integrations.

The protocol has also added a “My Store” section that allows all users to manage and track their collection and build their personal brand.

According to the most recent update from the developers behind the project, some of the future updates for 2022 include the release of a desktop client, social and voice chat improvements, linked NFTs as wearables, tokenized emotes, smart wearables and a mobile app prototype VR client.”

VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for MANA on Jan. 22, prior to the recent price rise.

Data from Cointelegraph Markets Pro is also painting a bullish picture for MANA.

The VORTECS™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.

VORTECS™ Score (green) vs. MANA price. Source: Cointelegraph Markets Pro

As seen in the chart above, the VORTECS™ Score for MANA hit a high of 81 on Jan. 22, around one hour before the price increased 70% over the next two weeks.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.