Watch out for Polycub and SPS this week

Leofinance and Splinterlands are two of my favourite projects on Hive. They both have a healthy track record and I'm privileged to have been a part of the growth.

Both projects don't need any introduction and neither do their products. This week, I will be observing two tokens; SPS and Polycub, which are part of the Splinterlands and Leofinance projects, respectively.

Are you buying SPS?

SPS is the most recently introduced governance token of the Splinterlands ecosystem. Splinterlands investors have been receiving daily SPS airdrop for the past 307 days, meaning there are only 58 days of airdrop left.

As the airdrop slowly ends, investors are preparing themselves for a period of relative scarcity because most of your SPS earnings will come from staking, validators, and ranked battles.

The community's response to the impending end of the airdrop has been to stake more SPS and at the time of writing, approximately 53% of SPS in circulation is currently staked.

The launch of validator nodes didn't quite have the vigorous effect on the price that I predicted. However, the price of SPS has still been fairly stable in the 9 cents range.

As we head towards the end of the airdrop, the like scenario is that investors will be looking to lock up their SPS for staking rewards. Also, considering that staking SPS is the only way to earn vouchers, as well as to vote for proposals in the future, the likely scenario is that the amount of liquid SPS will continue to reduce.

As more SPS is staked within the game, the amount of SPS in circulation reduces. Considering that the token is quite sought after, it is very likely that this will lead to a minor pump in the short term.

Keep in mind that there will be a couple of SPS-related developments in Splinterlands that will most likely drive up interest in the token. Just like in the case of validator nodes, some of these moves will burn a decent supply of the liquid SPS in circulation.

I've also noticed that just like most other assets in the market, there seems to be a connection between SPS and Bitcoin. This means that whenever the market turns bullish, SPS will most likely climb up the ranks as well.

Is Polycub heading to $1?

The price of Polycub has been positively reacting to recent development in the project. In this publication, I shared my perspective about the future of Polycub and so far so good, things are slowly shaping up.

Assuming you bought Polycub at the time I published that post yesterday, at this moment, you'd be roughly 7.78% up in your investment. Not a lot in the general scheme of things but as I've said on multiple occasions, with Polycub, you need to play the long game.

The introduction of a voting process will most likely lead to internal competition, thereby driving the price of Polycub towards the ceiling. We're still a long way from the ceiling though.

Polycub's 7-day chart also tells the same story. This time frame marginally coincides with the period that XPolycub voting has been going on.

Keep in mind that in the background, there's also the fact that Polycub's scarcity is embedded in the design and there are numerous value accrual processes that are bolstering the coffers of the Protocol Owned Liquidity. In the process, ensuring that the RFV continues to rise.

Looking at the progression in the price of Polycub, do you think that we could see $1 Polycub before the end of the week?

In any case, keep your head on the swivel, do your own research and only invest what you can afford to lose.

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