FUR Price Movements Can Be as Turbulent as the Assets Themselves

Cryptocurrency price movements can be as turbulent as the assets themselves. One token that has recently peaked the interest of traders is $FUR, which has witnessed a hefty drop after a big run-up.

"Cryptocurrency price movements can be as turbulent as the assets themselves. One token that has recently peaked the interest of traders is $FUR, which has witnessed a hefty drop after a big run-up.

And this is despite all of the notable price action (SFUR went up quite dramatically before coming down just as quickly) and the real reasons for this sort of price action are obviously not clear, but the usual suspects—social media hype, dished out with a side of FOMO, seems to be driving the $FUR train for now.

suggest that the recent performance of $FUR presents an important lesson in the crypto space: hype alone cannot sustain a token’s price. The coin, which has seen a sharp drop after its earlier surge, now faces a challenging road ahead. On the price chart, a bearish engulfing pattern on the 4-hour chart at the time of writing on Thursday morning may indicate the possibility of a reversal while the Relative Strength Index (RSI), which compares the magnitude of recent price gains to recent price losses, currently indicates that the asset is oversold. This shows that an upward price movement, or a rebound, could be on the horizon. However, while these two indicators present a somewhat favorable situation looking forward, the Moving Average Convergence Divergence (MACD) is still bearish and hints that the downward momentum might not be over just yet.

Even with apparent technical signs, the falling price of $FUR highlights a grimmer reality: the cryptocurrency market is now largely impacted by the same big players and social media forces that are increasingly affecting the stock market.

The $FUR situation underscores this crucial point: Market moves are really made by large, well-advanced, and well-capitalized players—what some call “smart money.” Without the involvement of these “big boys,” market moves that are supposedly driven by social media hype or Twitter FOMO can go only so far.

The Power of Hype Versus the Impact of Smart Money

$FUR has become a hot topic on Crypto Twitter in the past few months, with many users now switching to the token’s logo as their profile picture. This was all supposed to lead into a price rally for $FUR, given that we have seen similar situations play out where a social media event pushes the price of a cryptocurrency up. But here we are, a few weeks past the peak of the $FUR hype cycle, and not only is the price down, but $FUR also seems to be in a bit of freefall.

This isn’t just from the recent top, either; when we look at the situation from the past few months, it’s clear that the price serves as a pretty decent indicator of the supposed “interest” in a token.

This emphasizes a shared occurrence in the cryptocurrency market: the focus on Crypto Twitter is frequently of short duration. Even though the platform is a center of gravity for crypto discourse and has—in some instances—helped spur certain tokens to newfound prominence, its influence barely registers in the space-time continuum of the average crypto investor. The same users who blast off tweets about the next “big thing” can, with just as much volume and intensity, move on to the next trend. And for coins that barely existed before and are totally reliant on hype, these phenomena aren’s exactly great for investors.

Smart money, not online communities, drives long-term price movement. Who is smart money? It’s substantial investors like hedge funds, institutional players, and crypto whale investors. They have the resources to cause significant price shifts, meaning their moves are more directly felt in the market. They also tend to take a more calculated, long-term approach, using the types of fundamental analysis that many in the crypto space regard as antiquated. And when they move, they certainly can (and do) use social media as a cover. In their absence, lights set on a price increase driven by social media attention become more ephemeral.

This principle lies at the very heart of FUR’s recent problems. Despite the enthusiasm displayed on Crypto Twitter, we haven’t seen any sizable investments from either institutional players or crypto whales that would provide the token with the kind of price support you would expect in a healthy market. Without that price support, there doesn’t seem to be much of a reason for anyone to be feeling FOMO (fear of missing out), and as a result, we don’t seem to have much in the way of a sustained uptick in the token’s price.

A Market Cap Decline and Dwindling Holder Base

Long-term backing from big-name investors has been lacking, and it shows in the current state of $FUR. Right now, the token has a market cap of a little under half a million dollars—462K, to be exact—which is down almost 93% from its all-time highs of about 7 million dollars in early 2022. This cap does not inspire confidence, and it’s evident in the now 3