We recently explore some key details of the Carv protocol and its CARV token. The latter has officially launched on multiple exchanges where it has been trading for more than About one week. But what does the future look like for the project and its native crypto?
CARV’s first week of trading has attracted a significant buzz and interest in the market. Let’s kick off with a recap of the price action. CARV exchanged hands at $1.01 at press time. For perspective, the cryptocurrency traded as low as $0.28 which is the same day that it was launched on multiple exchanges.
The press time price represented a significant retracement from its recent ATH of $1.51. This means it has so far managed to achieve a 431% gain from its lowest trading price to its highest trading price so far in just one week.
CARV price prediction
According to Coinmarketcap, the token has a total/maximum supply of 1 billion tokens. It also states that the current self-reported circulating supply was 125 million, as well as a $125 million marketcap. The currently low circulating supply may contribute to a higher valuation in the Short-term.
For example, judging by the rate at which CARV has attained over $100 million marketcap, it could easily push above $500 million. Perhaps even $1 billion in the short term. That would be equivalent to a $4 and $8 valuation respectively.
If we account for the fully diluted value, CARV would be worth $0.5 and $1 respectively in the long term. Fortunately, the token will have a 4-year vesting schedule, meaning there is a short-term period where its value may soar above $5, and potentially as high as $8.
Factors driving CARV price
The primary factor is the demand that will be present in the market. This will depend on various factors such as how well the token and its protocol will be marketed. Note that the crypto market has recently started experiencing some excitement which may result in more upside in the next few months. This means CARV may benefit from the influx of robust liquidity that is expected to take place.
Aside from organic demand in the market, demand from the native protocol may also influence CARV value in the short and long term. For example, staking incentives may encourage many to pursue staking. If a substantial amount of CARV is staked, then that may translate to lower sell pressure and a higher floor price.
CARV’s short term and long term outlook might also be influenced by regulatory factors. The crypto market is still subject to regulatory changes and overreach. Favorable or unfavorable regulatory guidelines will likely have a significant impact on liquidity flows in and out of cryptocurrencies.
CARV token Conclusion
Based on the above data we can see that the token likely offers the most potential gains in the short term rather than the long term. However, its long term value will depend on how well it will perform. In case its marketcap soars above $5 billion or $10 billion, then its long term price action may still offer significant upside.
If you do decide to hold CARV for whatever duration of time, then you should consider the other factors that come into play. Also, while the project is a game-changer, there are no guarantees regarding its success. Nevertheless, the project offers a compelling new approach to decentralized digital addresses in a sensible manner. This appeal may aid in its success and has so far been a major selling point. Nevertheless, it is advisable to proceed cautiously. As always, this information does not constitute financial advice and is for educative purposes.
Also read: WatBird token price prediction: Is It Another Hidden Gem?
