STEPN (GMT) requires users to equip with NFT sneakers that earn crypto while you walk, jog, or run. The crypto earned can be used to upgrade your sneakers or mint some new ones. Users also have the option of renting out sneakers from other users if they don't own a pair.
STEPN was created by an Australian-based fintech studio that won the Solana hackathon "Gaming Track" in 2021. The STEPN team is also a part of the DeFi Alliance Gaming cohort.
It is the first project to effectively bring to life a move-to-earn concept. With this idealogy, STEPN aims to nudge millions of users towards a healthier lifestyle using the web3 technology.
In this technical analysis, we will use multiple technical indicators to analyze GMT’s price in several time frames.
At the time of this writing, GMT is ranked the 139th largest cryptocurrency, according to CoinMarketCap. The market cap is sitting around $459 million.
On its roadmap for this quarter, the project is aiming to launch its trade-in app function. This will allow users to swap rewards for real prizes. Since its inception, STEPN has made a lot of improvements in its application. Some of these include its motion sensors, GPS calibration, and marketing campaigns. Down the road, STEPN will be upgrading its wallet and marketplace and will be starting an online marathon. Is this enough to be a leader in a new space? Let's take a look at the charts!
STEPN/USDT on a Weekly Chart
Here, we are using the logarithmic chart to get a better picture.
Looking at the weekly time frame, we can see that the project is less than a month old. The bulls are in control now, but will this continue?
One thing to keep in mind is that GMT's market cap is still relatively low when compared to other projects. This may cause some extra volatility while things get stable. This week's candle has set a new higher high and seems like it will continue its trend.
A cool-off period is nothing out of the ordinary when new tokens are introduced. However, if bulls lose, we could see a sell-off to the token’s nearest support. A look at the lower time frames can give us a better view.
Let's take a closer look!
STEPN/USDT on a Daily Chart
Sticking with our logarithmic chart, and shifting to the daily pattern time frame. This gives us a better picture of reversals.
GMT has recently set a new higher high slightly below $1.00. This is now the second attempt of the token in which it tried to close above the previous high. Looking at the left side of the chart, we can see that there is a major support level based on the bullish engulfing shown at this level. Let's look at a couple more details.
Price action has been respecting this bullish channel. A retest of the bullish engulfing is expected. However, if the token continues to sell and print lower lows, expect our major support level to be tested. There is no confirmation of direction at this moment. This may take a couple of days before we get any signs of the next direction. However, we do see some early signs that bulls are present. The bulls need to continue placing bids at these levels if they want to set a new high.
If there is any rejection at this resistance level, the price will enter an accumulation period. However, a close above resistance will make the price continue setting new highs.
STEPN/USDT on a 4-hour Chart
Shifting down to the 4-hour time frame and using the logarithmic chart. This time frame is used for timing trades.
Here we get a better picture of the price testing resistance. You can see recent rejections from this level. The bulls are losing momentum.
A bearish reversal signal can send the price towards major support. However, a close above this level will send the price into price discovery.
There is no confirmation of direction, therefore, wait before pulling any triggers. For now, the bulls remain in control. However, a rejection from this level can shift things quickly.
STEPN/BTC on a 4-hour Chart
Last, but of course not least, is GMT compared to BTC using the logarithmic chart. Price action has recently printed a lower high.
You can see that the price has recently been rejected at the resistance level. Since then, it has slowly been selling off.
The last time it was rejected at this level, it continued to print lower lows. Therefore, this is a major resistance for the bulls. A break and close above this level will send GMT to a new all-time high. However, a rejection from this level will send the price towards its previous support level.
Summarizing the Above
GMT on the weekly time frame shows the project is less than a month old.
GMT on the daily time frame shows there is no confirmation of direction at this moment.
GMT on the 4hour time frame shows the bulls are losing momentum.
GMT on the BTC 4-hour time frame shows that a break above this resistance will send the price to a new all-time high.
Remember that this is all based on the subjective views of the writer. As always do your own research.
