10X Research expects that CHZ will demonstrate the same bullish move it exhibited in 2022.
Cryptocurrency sporting project Chiliz is aligned to register massive price growth activity in the coming weeks owing to a recent development in its market outlook. In the last seven days, CHZ, the native digital asset of the sport protocol surged by up to 25%, marking a two-month high of over 15 cents. Similarly, it makes CHZ the crypto with the third-biggest gain amongst the first 100 ranking cryptocurrencies by market value including Bitcoin (BTC) and Ethereum (ETH).
CHZ was only topped by Notcoin (NOT) and Solana-based meme coin Dogwifhat (WIF).
Chiliz (CHZ) Price Hits 3-Week High
This mega price revival has put the cryptocurrency that represents an intersection of blockchain and sports on the radar of several investors. It is worth noting that the excitement surrounding CHZ and the price surge stems from the anticipation of the upcoming 24-country Union of European Football Associations (UEFA) Euro football competition, which will be held from June 14 to July 14, 2024.
Those who are interested in purchasing fan tokens on Socios.com, are required to complete their transactions using CHZ. Hence, the token serves as the medium of interaction between fans and their favorite teams.
In 2022 just before the FIFA World Cup that was held on November 20, the token registered a rally way bigger than what it is currently showcasing. CHZ doubled in value to almost $0.30 through the summer of 2022, topping out a day before the global sporting event. Later in December of the same year, prices fell by nearly 40%.
CHZ price hit a three-week high of 16 cents earlier today but an adjustment has happened since that time. At the time of this writing, the crypto that powers the largest sports fan token creator platform Socios.com was trading at $0.1454 with a 3.50% price dip. However, over the past week, it is up by 20.44%
Enthusiasts Expect CHZ to Hit New Levels as UEFA Draws Closer
Even with this sentiment, 10X Research expects that CHZ will demonstrate the same bullish move it exhibited in 2022. On this premise, it is expected that CHZ will bag more gains by mid-June after which a potential sell-off could follow.
Markus Thielen, founder of 10X highlighted that “the Chiliz (CHZ) token rallied over 100% from the summer of 2022 until one day before the FIFA World Cup started on November 20, 2022 (lasted until December 18, 2022). Only to then decline by -60% one day before the start of the FIFA Soccer World Cup (from November 19, 2022)”.
His stance is supported by historical data that have shown that sports tokens usually go through a pre-event period filled with optimism and potentially, a price rally which is sometimes followed by a price decline as well. A study titled “Anticipatory Gains and Event-Driven Losses in Blockchain-Based Fan Tokens: Evidence from the FIFA World Cup”, which was published in Research in International Business and Finance underscores this outlook.
The months preceding the UEFA event will confirm if this will be the case with CHZ.
next