Football fan token failed during FIFA World Cup

National team Fan Tokens grew significantly in anticipation of the 2022 FIFA World Cup but underperformed during the event itself.

The price of these tokens is directly affected by the performance of their respective teams. This was especially visible during Argentina’s defeat against Saudi Arabia and winning the World Cup held in Qatar.

The price of the Argentine Football Association Fan Token (ARG) peaked before the final and has since declined. Furthermore, the price of the Brazil National Fan (BFT) fell sharply after Croatia eliminated Brazil. Lastly, the price of the Spain National Football Team Fan Token (SNFT) crashed shortly after their elimination from Morocco.

The same underperformed for Chiliz (CHZ), the native token of the Socios platform, in which these fan tokens reside.

Argentina fan token peaks ahead of final

The FIFA World Cup began on 20 November and ended on 18 December. ARG price peaked on 18 November and was already falling after the start of the FIFA World Cup (red icon). The next fall occurred on 22 November (black icon), when Argentina suffered a shock defeat against Saudi Arabia.

Later, after the team won the quarterfinals against the Netherlands and were on their way to the finals, ARG prices soared 180% between December 9-16 (highlights).

However, even though Argentina and Lionel Messi were crowned world champions on December 18, the ARG fan token price soon crashed, validating the slope of the resistance line (red circle). This probably happened when fan token holders cashed out, and the daily RSI dropped below 50, indicating a bearish trend.

Therefore, the most likely price projection is a decline towards a new all-time low. A break above the resistance line would invalidate this bearish forecast.

Argentina Fan Token (ARG) Fan Token World Cup
ARG/USDT Daily Chart. Source: TradingView

Brazil Token bearish after elimination

Brazil Fan Token also declined sharply during the World Cup. Interestingly, the BFT value also dropped after a team posted a successful result, as it did after the win against Serbia (red icon) on 24 November.

Shortly afterwards, BFT price broke the $0.50 horizontal support area and the rate of decline accelerated.

The Brazilian liquidation on 9 December resulted in a 55% drop in one day and reached a new all-time low of $0.05 on 17 December.

Interestingly, BFT started an uptrend two days later but is still trading below a key resistance at $0.20.

As a result, unless it reclaims this area, the most likely price forecast is a sustained decline towards new all-time lows.

Brazil Fan Token (BFT) Price
BFT/USDT six hour chart. Source: TradingView

Spain Fan Token Drops 60% After Elimination

SNFTs have declined by 90% since the start of the FIFA World Cup. Similar to Brazil fan token, SNFT fell by 62% after Morocco were eliminated from their blowout on December 6th (red icon). It reached an all-time low of $0.033 on the same day.

While SNFT started an upward move on December 19, it is trading well below the $0.09 resistance area. As a result, the trend is bearish until this area is reclaimed and new all-time lows are likely.

Spain Token Price (SNFT)
SNFT/USDT six hour chart. Source: TradingView

To conclude, the fan tokens of the national teams were heavily influenced by their team’s performance and the end of the World Cup. The movement looks like a case of “buy the rumor sell the news” as the price of most coins peaked just before the event. In the case of ARG, there was another peak in price before the final but it also fell after the team won the FIFA World Cup.

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