The metaverse token Sandbox (SAND) has recently hit its lowest price point since August 2021, trading at $0.30. However, there is renewed hope for SAND as Facebook’s recent launch of AI-powered Ray Ban smart glasses has led to a spike in network demand. In this article, we will explore how this surge in demand might impact SAND’s price performance in the coming weeks.
Facebook’s AI-Powered Glasses and Sandbox’s Network Growth
Sandbox experienced a significant increase in new users following Facebook’s launch of AI-powered Ray Ban smart glasses. On September 27, 278 new wallet addresses were created, according to on-chain data from Santiment. Notably, this level of network growth hasn’t been witnessed since July 24, indicating a resurgence of interest in the Sandbox ecosystem.
Network Growth, which tracks the daily creation of new wallet addresses on a blockchain, is a rough indicator of fresh demand for the SAND token. This uptick in user acquisition suggests that SAND is attracting renewed interest, potentially setting the stage for a price rally.
Moreover, the timing of this Network Growth suggests that Facebook’s smart glasses launch may have triggered interest in the metaverse project. If this momentum can be sustained, it bodes well for SAND holders, as they could anticipate a positive impact on the token’s price.
New Users Active in Economic Transactions
Additional on-chain data supports the idea that Facebook’s product launch is contributing to Sandbox’s bullish prospects. The new users joining the ecosystem have been actively engaging in economic transactions. On September 27, SAND’s daily active addresses reached a monthly peak of 697.
The Daily Active Addresses metric measures the participation rate of existing users on a blockchain network by counting the number of unique addresses conducting transactions daily. The increase in both Network Growth and Daily Active Addresses indicates that new participants are actively initiating transactions within the Sandbox ecosystem.
If this surge in user engagement can be maintained, it may lead to a bullish price momentum for SAND in the coming weeks.
SAND Price Prediction: Bulls Targeting $0.45
The on-chain indicators discussed above suggest the possibility of a bullish reversal towards the $0.45 price range. The Global In/Out of Money Around Price (GIOM) data, which shows the entry price distribution of current SAND holders, also supports this prediction.
If Sandbox can overcome the initial resistance at $0.40, the heightened network traction could trigger a rally towards $0.45. As illustrated, 17,160 addresses purchased 339.3 million SAND at an average price of $0.40. If these addresses decide to sell, they could fuel the bullish momentum.
However, the bearish scenario could come into play if SAND’s price falls below $0.25. In this case, 3,440 addresses have bought 793.4 million SAND at a maximum price of $0.29, potentially providing support against a significant downturn.
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Conclusion
The recent surge in network demand for Sandbox (SAND) following Facebook’s launch of AI-powered smart glasses has provided renewed optimism for the token’s price performance. The convergence of positive on-chain indicators, including increased Network Growth and Daily Active Addresses, suggests the potential for a bullish reversal towards the $0.45 mark. Nevertheless, the cryptocurrency market is highly volatile, and external factors can influence price movements. Investors should exercise caution and conduct thorough research before making any investment decisions in the SAND token.
