A Crytocurrency named omicron
Omicron: Investors Bet on New Cryptocurrency
A week ago, the WHO named the new COVID-19 variant “Omicron.” A previously unknown cryptocurrency of the same name experienced a rapid rise of 900 % two days later. However, the value is currently said to be falling rapidly, the business magazine NDTV reported on Thursday.
According to CoinMarketCap’s price tracking website for crypto assets, the cryptocurrency traded at USD 692.45 on 29 November. Two days earlier, the value had been at USD 64.94.
After reaching its peak, however, Omicron has lost considerable value. The current price today, Friday, was only 267.94 USD. Experts say the sudden rise is likely since the new coronavirus variant and the coin share the same name.
CoinMarketCap warned investors not to get carried away by the rapid rise of the Omicron cryptocurrency. Even though Omicron has outperformed popular tokens such as Bitcoin and Ethereum at times, it does not mean that it is a worthwhile investment, it said.
CoinMarketCap further states:
“Little is known about this decentralized financial project, and it isn’t proving easy to get robust data around it.”
Is the Crypto Bubble Bursting?
Experts draw parallels to the new Squid game token, which had a spectacular launch only a month ago but turned out to be a scam. The coin, named after the South Korean Netflix series “Squid Game,” plummeted from over USD 2,800 to USD 0.01 in a short time.
According to media reports, the fraudsters escaped with a haul of USD 3.3 million.
According to the business portal Finanzen, however, the sudden rise of the Omicron token could be a different matter. Omicron can currently only be traded via the decentralized exchange SushiSwap.
The trading volume, which is around USD 414,000, is correspondingly low. In addition, according to CoinMarketCap, only 2,430 of one million possible coins have been created so far.
Therefore, it can be assumed that the sudden surge is sole because the new Corona variant bears the same name.
It was also not clear whether Omicron would maintain its course.
The further development of cryptocurrency is also unpredictable.