- Katana (KAT) has witnessed a drop of around 23% in the last 24 hours, dropping below $0.01243 and holding a market capitalization of around $30 million
- This drop comes after major exchanges like Bitget, OKX, Gate, Coinbase, and others announced their listings after the TGE event
- After tokens get listed, token holders have started selling tokens to book gains before their fall
On March 18, the Katana (KAT) price witnessed a major dip of 22% on a daily chart, declining to $0.01243.
At the time of writing this, Katana is trading at around a 23% drop and holding a market capitalization of $30 million. Its 24-hour trading volume is revolving around $31.66 million, according to Coingecko.
These sharp drops come amid a series of listings on major exchanges, including Bitget, OKX, Gate, and others. Coinbase has also added Katana to its roadmap.
Why Katana (KAT) Keeps Dropping
Katana is the DeFi blockchain built to generate real revenue. After its launch, the blockchain is facing a liquidity crunch. This is one of the major issues that has driven down the cryptocurrency’s price.
According to DefiLlama, the total value locked in DeFi on Katana is around $137.08 million. The stablecoin market cap on the blockchain is revolving around $257 million.
While the overall crypto market is showing resilience in this war, the drop in KAT is highlighting investors’ lack of confidence in its infrastructure, as it failed to sustain upward momentum.
Just a few hours ago, the token reached a high of $0.018 before falling to a new all-time low of $0.012 within a few minutes. This figure shows a decline of nearly 33% from the recent peak.
The timing of the drop in the Katana price matches the official spot listing of the Katana token on Binance, one of the leading crypto exchanges.
This drop is showing that the traders who participated in the pre-token generation event sale earlier this week have sold their holdings to gain profits after trading for the cryptocurrency started on the major exchanges.
At the moment, KATANA is holding a Seed Tag from Binance, which is warning users about its potential volatility and risk linked with the early-stage tokens. These tokens mostly face a sharp drop with a correction after their initial demand slows down and hype goes away.
The price fell quickly from support levels that were created during the post-listing surge. Daily trading volume reached more than $51 million, which exceeds the current market capitalization of $28.78 million. It shows intense selling activity from small traders.
The biggest cryptocurrency, Bitcoin (BTC), has also plunged below $72,000 with a 3.7% drop today after witnessing a rally that boosted it above $74,000. Right now, the Bitcoin (BTC) price is trading around $71,385.68. This drop has affected the other altcoins also.
However, the Federal Reserve interest rate announcement for today is creating uncertainty in the crypto market as it is affecting risk assets, including newly listed altcoins.
Matthew Fisher, Head of Katana, stated in the press release, “Today marks the next phase for Katana. KAT activates the full DeFi flywheel; staking, coordination, and real yield driven by protocol activity. This is the result of months spent building productive infrastructure with real liquidity behind it.”
The platform generates genuine revenue through its Vault Bridge, which moves assets such as USDC, WETH, WBTC, and USDT onto the network. This deploys them into proven yield strategies on Ethereum. This process has already produced more than $3 million in revenue since the mainnet launch, and the funds flow directly back into the ecosystem to support users.
Also Read: HYPE Price Hits $42 as Hyperliquid Trading Activity Soars
