The Daily Hodl
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Altcoins
    • Financeflux
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams, Hacks & Breaches
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • Chainwire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise
No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Altcoins
    • Financeflux
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams, Hacks & Breaches
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • Chainwire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise
No Result
View All Result
The Daily Hodl
No Result
View All Result

One of 2022’s Most Explosive Altcoins Is About To Walk Off a Cliff, Warns Top Crypto Trader

by Daily Hodl Staff
May 2, 2022
in Altcoins, Trading

A closely followed crypto trader is issuing a warning to STEPN (GMT) investors, saying that the fundamentals of the altcoin no longer support its valuation.

Pseudonymous analyst Light tells his 155,700 Twitter followers that he believes GMT, which equips users with non-fungible token sneakers and rewards them for taking steps in real-life, is extremely overvalued after going through a massive rally in the last two months.

“Think GMT is about to walk off the edge of a cliff in short order.

Built a full short position in the $3.80s.

The token ran up 40x from Binance listing in two months on a strong Axie mimic narrative and incredible app growth metrics.” 

Image
Source: Light/Twitter

Light says that while the app’s use case is “compelling,” the current number of STEPN users doesn’t justify its fully diluted valuation of over $20 billion.

“The token now implies a $23 billion valuation diluted. Read that again. With 19,763 users on the app today, buying GMT is akin to paying $1.16 million per current user.”

Image
Source: Light/Twitter

Light also highlights the massive gap between GMT’s current market capitalization of about $2 billion from its fully diluted valuation, saying that token unlocks will generate tremendous sell-side pressure.

“The gap from the $2.3 billion circulating to the diluted comes in the form of game emission (which is driving user growth) and upcoming investor unlocks, which current GMT holders will have to absorb just to hold price stable. Private round investors from months back are up ~750x.”

Image
Source: Light/Twitter

Light says that buying GMT for its value is no longer defensible. He also warns that he’s seeing signs that GMT’s momentum is starting to slow down.

“For the first time since it began trading, this momentum is flagging. The latest Coinbase listing-driven impulse has failed to hold above the highs. This is markedly different behavior than past breakouts, and Coinbase listings have often historically marked mid to long-term tops.”

Image
Source: Light/Twitter

Light also says that GMT has failed to move higher despite a “boatload” of positive news over the last few weeks, hinting that market participants are already unloading their holdings.

From a technical standpoint, the crypto trader adds that GMT has likely put in a top at “round number.”

At time of writing, GMT is changing hands for $3.45, down nearly 15% from its all-time high of $4.04.

Follow us on X, Facebook and Telegram

Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox

Check Price Action

Surf The Daily Hodl Mix

 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/Julia Ardaran and Salamahin

Submit a Press Release

Industry Announcements

  • MultiBank Group Confirms MBG Token TGE Set for July 22, 2025
    July 11, 2025
  • PEPESCAPE Launches Crypto Presale, Combining Memecoin Culture With Decentralized Finance Ecosystem
    July 10, 2025
  • Aptos Labs Expands Leadership With New Chief Business Officer
    July 10, 2025
  • Falcon Finance Unlocks Real-World Asset Utility With First Live USDf Mint Using Tokenized Treasuries
    July 10, 2025
  • MBG Token Pre-Sale Set for July 15 – Only Seven Million Tokens Available at $0.35
    July 10, 2025
  • YZi Labs Invests in Aspecta To Pioneer Universal Price Discovery Infra for Trillion Illiquid Assets
    July 10, 2025
  • NovaEx Launches With a Security-First Crypto Trading Platform Offering Deep Liquidity and Institutional-Grade Infrastructure
    July 9, 2025
Submit a Guest Post
ADVERTISEMENT
Bitcoin
$117,809.56
$117,809.56
0.03%
Ethereum
$2,955.91
$2,955.91
0.37%
BNB
$687.14
$687.14
1.26%
Solana
$161.28
$161.28
1.37%
XRP
$2.77
$2.77
1.31%

Spotlight

  • Billionaire Ray Dalio Warns ‘Painful Disruptions’ Incoming as US National Debt Set To Shatter $425,000 per Household
    July 5, 2025
  • Ancient Bitcoin Whales Abruptly Come Alive, Move $2,183,000,000+ in BTC After Lying Dormant for 14+ Years: On-Chain Data
    July 5, 2025
  • Bitcoin ‘Very, Very Likely’ To Hit $250,000 or Higher, Says Crypto Trader Michaël van de Poppe – Here’s His Timeline
    July 5, 2025
  • US Lawmakers Probe $870,000,000 in Customer Losses on Zelle, Targeting JPMorgan Chase, Bank of America and Wells Fargo’s Reimbursement Practices
    July 5, 2025
DON'T MISS A BEAT
Crypto headlines delivered daily
to your inbox
BTC, ETH, XRP news alert options
By joining The Daily Hodl news list you agree to our
Terms and Conditions and Privacy Policy.
Featured Image: Shutterstock/Billion Photos

Covering the future of finance, including macro, bitcoin, ethereum, crypto, and web 3.

Categories

Bitcoin • Ethereum • Trading •
Altcoins • Futuremash • Financeflux •
Blockchain • Regulators • Scams •
HodlX • Press Releases

 

ABOUT US | EDITORIAL POLICY | PRIVACY POLICY
TERMS AND CONDITIONS | CONTACT | ADVERTISE

JOIN US ON TELEGRAM

JOIN US ON X

JOIN US ON FACEBOOK

COPYRIGHT © 2017-2025 THE DAILY HODL

No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Altcoins
    • Financeflux
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams, Hacks & Breaches
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • Chainwire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise

© 2025 The Daily Hodl