Hamster Kombat in a harsh reversal; market cap drops below Notcoin

Hamster Kombat’s token has dropped by more than 30% following its highly anticipated airdrop and token listing.

Hamster Kombat (HMSTR) dropped to $0.0088, bringing its total valuation above $574 million, making it the 110th-largest cryptocurrency. The opening price was also significantly lower than its pre-market futures peak of $0.3865.

It is listed on many major centralized exchanges including Binance, OKX, MEXC, Gate.io, Woo, and KuCoin. Binance has also launched an earning program where participants will have a chance to earn 100 million HMSTR tokens.

Data from CoinGecko shows that Hamster has a maximum supply cap of 100 billion tokens, with 64.3 billion of them in circulation. This drop likely occurred as many airdrop recipients began selling their tokens.

✅ Chain open top ✅

⚡️ Direct on-chain request and balance withdrawal options are open. Now you can transfer your tokens anywhere!

— Hamster Kombat (@hamster_kombat) September 26, 2024

Hamster Kombat’s valuation means it is smaller than Notcoin (NOT), which was the first tap-to-earn token to be listed on the exchange and has a market cap of over $871 million.

Essentially, Hamster has a larger ecosystem than Notcoin. It has over 300 million players, 37.6 million YouTube subscribers, and 14.3 million followers on X.

One of the possible reasons for the price drop is that Hamster has over 35 million tokens locked, while Notcoin has 102.4 million tokens in circulation.

The biggest near-term risk for Hamster would be a sell-off by millions of people who have accumulated billions of tokens over the past few months. Typically, newly listed Telegram tokens see a decline shortly after launch.

Catizen (CATI) initially jumped to $1,150 after launch but has since fallen more than 38%. Similarly, Notcoin and Pixelverse have both seen double-digit declines from their all-time highs.

On the plus side, Hamster Kombat’s airdrop comes at a time when most cryptocurrencies are bullish. Bitcoin (BTC) rose to $64,700, while the total valuation of all coins increased by 3.7% to $2.26 trillion.

Other highly anticipated tokens have also disappointed in the past. Sweat Economy, for example, fell 94% from its all-time high, despite Sweatcoin having over 50 million users prior to the SWEAT token airdrop.