SPS Fundemental and Technical Analysis

Splinterlands' management and reward token, SPS, began airdropping to players in June 2021. SPS is still traded on Hive, BNB, and Ethereum networks and is planned to reach 3 billion in total. In the fall of 2021, Facebook's change of name to Meta increased the interest in the metaverse and play-to-earn tokens, and the price of SPS rose to 88 cents. From 2022 onwards, the SPS price has steadily declined, with a minimum of 1.58 cents. The bear market was the main factor in the said decline, and similar price drops were observed for other play-to-earn tokens. SPS deserves higher price levels, but market makers are not distinguishing SPS from other play-to-earn tokens for now.

Fundamental Analysis

Splinterlands is a constantly evolving ecosystem. The first game that gave the ecosystem its name was a fantasy-themed card game, and during the bull market, the number of users exceeded 500k. Two new games will join the ecosystem in the coming weeks. The first of the games, Soulkeep, is a tower defense game set in the same universe. Splinterland monsters will also be used in Soulkeep as well as game-specific towers. Praetoria is a land plot based economic simulation game. These games, expected to come into play in the coming weeks, will bring new excitement and dynamism to Splinterlands.

The main features that distinguish Splinterlands from other play-to-earn games are:

• The game operates on the Hive blockchain, which combines high security with low fees. This way, more than 2 billion transactions were performed within the game's scope.
• Splinterlands is an in-depth strategy game. Players fight within the game's scope using 500+ cards with 64+ abilities.
• Splinterlands has a sophisticated token economy. Innovations such as game-specific stablecoin, voucher coin, soulbound NFTs, and functional guilds have been implemented.
• Three games are still active in the Splinterlands universe. Soulkeep is in alpha, and early investors can play the game. Land claims have been made in Praetoria, and production will soon begin on the game's buildings.

The makers of Splinterlands also launched a platform called Genesis League Sports. The beta version of the platform's first game, Genesis League Goals (GLG), will be released on July 18. GLG is a football manager game played with cards.

Splinterlands' management and reward token, SPS, can be staked. Staked SPS gives investors SPS and Vouchers. A voucher is a coin that provides discounts in the game and can be traded on the Hive Engine. Splintercards site regularly reports on SPS's staking returns. Currently, this return is at the level of 14%. Additionally, SPS stakers earn Genesis League Sports' management token GLX as part of a regular airdrop. When we add the GLX return, the rate of return rises to 22%.

A few days ago, players were required to stake SPS to earn rewards. Thus, those who have staked SPS have started to earn additional rental income. The annual return of the said rental income is around 10%. So the total return on SPS staking has reached 32%.

So how much is the inflation of SPS? According to the SPS supply chart below created by @dalz, annual SPS inflation is around 25%.

SPS provides a real return to its investors.

SPS Technical Analysis

The SPS staking requirement for players has increased the SPS price by nearly 50% in the last week. On the other hand, in the chart below, we see that SPS has been heavily affected by the bear market in the previous year.

The 2.1 cent-2.3 cent is SPS's essential support/resistance range. SPS price faced resistance in this range. We must wait a while to see if this region breaks upward.

The 200-day simple average of SPS is 2.4 cents. The 200-day average must be crossed to talk about a medium-term uptrend. If the price can exceed the 200-day simple average, it could quickly rise to 3 cents.

TL;DR

The Splinterlands ecosystem is going through exciting days. In a few weeks, new infrastructures will be activated within the scope of the ecosystem. The Splinterlands roadmap is below.

As seen on Roadmap, we expect Soulkeep and Land(Praetoria) games to be available as of August 1. The early beta of Genesis League Goals will also launch on July 18.

The Splinterlands team is constantly improving the ecosystem, keeping in mind that "bear markets are for building" It is not easy to predict when and to what extent these improvements will be reflected in the SPS price. We will watch the developments.

Thank you for reading.

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