Star Atlas (CCC:ATLAS-USD) is certainly one of the most interesting plays in the metaverse crypto niche. The virtual reality experience is otherworldly, taking users to an outer space environment brimming with lore and history already. Star Atlas developers are promising a huge final product; meanwhile, investors are evidently becoming frustrated with a lack of reasonable updates on development. The Star Atlas crypto continues to pile on losses as a result.
The Star Atlas project already has its fair share of adversity to overcome. It’s a Solana (CCC:SOL-USD) product, and there are plenty of investors who turn up their noses at the layer-1 blockchain network as a result of its repeated network outages. Of course, this isn’t keeping investors away as a whole; many think that the Solana network is superior to Ethereum (CCC:ETH-USD) even with its outages. This much is evidenced to be Solana’s increasing grip on non-fungible token (NFT) market share.
Rather, what’s disappointing investors recently — and in turn leading to Star Atlas crypto losses — is what investors deem to be lackluster updates into the development of this ambitious product.
ATLAS, the Star Atlas crypto, is losing nearly 18% today, continuing a downward trend that’s plagued the project for the last three months. Indeed, since early December, ATLAS has fallen from 19 cents to 5 cents in value, a downturn of about 75%. What’s causing these losses?
Star Atlas Crypto Tumbles Downward With ATLAS Holders Demanding More
Well, it seems that the developers are not providing investors with satisfying insight into the project. Investors have a lot to expect, and their demands are not unfounded; Star Atlas promises one of the largest and most high-performing metaverse experiences in the world. Developers are using Epic Games’ Unreal Engine 5 to create the project — one of the most renowned game-development engines. As such, users expect a huge space and one with very realistic graphics.
After all, the developers have leaned hard into this promise. A scroll through the Star Atlas website shows big promises of personal starships, planet-to-planet travel and very detailed avatars. In December, developers showed off pre-alpha gameplay footage, demonstrating the graphic capabilities.
As time continues to roll on, investors are becoming quite restless. As the Star Atlas team provided updates on the project over the weekend, followers of the project weren’t sure what to think. The tweet from the team mentioned an update to the project website, as well as progress on the project’s Unreal Engine showroom. The showroom, meant to show users a taste of the project’s graphics, is drawing contempt from investors. Some are scoffing at the showroom, saying it lacks any genuine insight into the development of the project. Others are asking about when the first playable demo will be available, seeing as the project has been dropping teasers for months.
Some investors levy criticism at the project, sure; but, it seems like others are taking the opportunity to buy the dip. Trading volume is trending upward by 24% over yesterday’s volume. So, while there’s short-term bearishness as investors impatiently await further development news, it looks like there’s still a vast interest in the project.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.