IP Token Faces Sharp Decline Amid Fading Launch Hype
The IP crypto token is seeing its value slump, as the excitement from its initial release fades. On June 19, the price of IP dropped by 8.74%,culminating in a 35.51% decrease over the last 30 days. This downward trend is partly due to investors cashing in on profits and general market negativity.
The crypto market has been hit by global tensions, notably the Iran-Israel conflict.However, major currencies like Bitcoin and Ethereum have shown more resilience.Bitcoin fell by just 1.2%, while ethereum rose slightly by 0.49%. Smaller altcoins, including IP, have not fared as well.
In June, the share of altcoins, excluding Ethereum, dropped significantly from 27.2% to 2.6%. Bitcoin’s share increased, while ethereum remained stable. Lower risk tolerance, due to macroeconomic and geopolitical factors, has cooled the altcoin market.
After its launch, IP saw its price skyrocket by over 500%, reaching a peak of $7.33. As then, it has lost 65% of its value. Profit-taking and waning hype have fueled this decline.
The Story Protocol, which launched IP, aims to bring the $61 billion intellectual property market onto the blockchain. Supported by major investors like a16z and Samsung Next, the project raised $140 million. It lets IP holders tokenize and license their content on the blockchain. Though, user engagement remains low.
According to DefiLlama, the total value locked in the Story Protocol has fallen to $11.25 million. on-chain fees and app revenue are minimal, indicating low activity. For IP to bounce back, the project needs to attract more users and grow its ecosystem.
