- MANA, SAND, and AXS’s charts revealed notable supply clusters
- Cost Basis analysis highlighted key accumulation zones that could define the next trend for major metaverse tokens
The metaverse once stood as the next big innovation in digital ecosystems, with projects like Decentraland [MANA], The Sandbox [SAND], and Axie Infinity [AXS] leading the charge.
However, hype around the metaverse has significantly cooled down over the last few years. In fact, the prices of major metaverse tokens have suffered severe downturns too, with investor interest dwindling consistently.
Now, with signs of renewed engagement and price activity, the key question is – Are metaverse tokens staging a comeback?
Cost Basis Analysis – Signs of accumulation or distribution for metaverse tokens?
Examining the Cost Basis Distribution metric for MANA, SAND, and AXS revealed a few crucial insights into investor behavior. The charts saw significant supply clusters at higher price levels, with a clear price-action downtrend since early 2025. A major area of concern is the persistent overhead supply, suggesting that many holders bought at higher price levels and may still be at a loss.
- MANA – The price has steadily declined on the charts, dropping from around $8.50 in late 2024 to approximately $3 by March 2025. The cost basis clusters indicated that a major portion of supply remains concentrated between $6.50 and $8.00, potentially acting as a resistance zone.
Source: Glassnode
- SAND: A similar pattern can be observed, with a price drop from $0.90 to approximately $0.25 over the same period. The largest accumulation zone lay around the $0.60-mark, indicating a potential challenge for bullish attempts to reclaim lost ground.
Source: Glassnode
- AXS: Previously one of the hottest play-to-earn tokens, AXS has mirrored the downtrend. Its supply was clustering heavily at $0.55 to $0.70, while its price hovered around $0.30 on the charts.
Source: Glassnode
Investor sentiment – Still cautious?
These charts further suggested that metaverse tokens are yet to break out of their prolonged decline. Despite small signs of buying activity at lower price levels, supply pressure has remained high.
This could mean that any short-term price surges may face strong sell pressure from holders looking to break even.
Additionally, on-chain activity did not indicate a major influx of new users. A true metaverse resurgence would require both institutional interest and broader adoption of metaverse-related platforms – Factors that are still lacking.
Can metaverse tokens recover?
For metaverse tokens to regain momentum, several conditions must be met,
- Higher trading volumes and greater demand for metaverse platforms – Current price action remains speculative without substantial user engagement.
- Reduction in overhead supply – A breakout above major resistance levels could signal that long-term holders are reducing sell pressure.
- Revived investor interest in Web3 and metaverse development – If major companies announce renewed investments in the space, tokens like MANA, SAND, and AXS could benefit.
As it stands, metaverse tokens are attempting to stabilize. However, their recovery is far from guaranteed. While the charts hinted at accumulation at lower levels, a meaningful breakout is yet to occur.
Hence, investors should remain cautious and monitor key resistance zones before expecting a full-fledged metaverse resurgence.
