Newt Price crashes 40% after airdrop hits Newton protocol

The Newton Protocol, a distributed finance (DEFI) project, recently launched a token newt with Binance Alpha, accompanied by a highly anticipated airdrop. However, the airdrop did not yield the expected results.

Instead of increasing the demand and value of investors, it led to a price drop of nearly 40%, causing concern among holders.

Newton Protocol has a long way to go

Airdrops associated with the Newton protocol have received mixed reactions from investors. Some investors have expressed disappointment, labeling the token with potential failures after the airdrop didn’t generate sustained interest. This was followed by a token dump that saw a major drop in price and worsened market sentiment.

Meanwhile, some investors have praised Newton Protocol’s creative word-of-mouth/referral strategy. Through the Kaito ecosystem, users advertise tokens to their networks. According to Kaito founder Yu Hu, this grassroots marketing approach is seen as an attempt to build organic growth.

“Magic Newton is a great example of an increasingly focused focus on nurture. It’s a yapper who employs real adoption (the introduction to the kite ecosystem represents one-third of all Newton validation agents). This memo is looking to incorporate the reputation of opt-in-on-chain, further exclude AI slops and reward high-quality users.

One key factor that can boost investors’ trust is the Newton Protocol team’s commitment to ensuring a fair and stable market. This protocol takes steps to prevent flash sales and pump and dump schemes.

All tokens assigned to team members and early investors are subject to a vesting schedule that prohibits them from being sold until fully unlocked. This move will help create a more stable market environment and discourage speculative behavior.

Newt prices should be stable

The recent price transfer of newts has been driven primarily by airdrops. Prices began to fall shortly after release. In just 12 hours, the token saw a dramatic decline of 40%, showing a clear cut between the expected demand and the actual market response.

Now trading at $0.462, Newt has failed to secure a support level of $0.466. As prices continue to slide, we are approaching $0.400 for our next important support. If the price falls below $0.400, there is a high chance of further losses, and there is a strong sales pressure that is expected to lower prices. This indicates that initial enthusiasm for tokens has faded.

However, if Newton Protocol can regain momentum and secure a $0.466 level in support, it could indicate a price reversal. In this scenario, Altcoin can return to $0.560, disabling the current bearish outlook. This requires sustained purchase interest and a more favorable response from the market.