Whatever happened to the Metaverse?
Comment of the Day

August 31 2023

Commentary by Eoin Treacy

Whatever happened to the Metaverse?

Eoin Treacy's view

 During the pandemic the metaverse was all the rage and NFTs of whimsical characters were selling for millions. Today most have lost all their value but what of the companies that are pioneering the online neighbourhood marketplaces?

The Solactive Metaverse Select Index peaked in early 2022 and found a medium-term low at the end of the year. Since then, it has held a sequence of higher reaction lows and is currently firming from the region of the 200-day MA.

It’s been helped along by components like NVIdia, Meta Platforms, Apple, Alphabet and Microsoft. These companies represent almost half the index. I thought it might be instructive to examine some of the other constituents to get a better idea of how the sector is performing.

The remaining constituents of the Index have very mixed performance and some will not survive if their trend accelerations lower are any clue. Some of the more notable or better performers include:
Snap (social media) is currently firming from the lower side of a developing base formation. Roblox (mobile gaming) and Unity Software (2-D & 3-D graphics) have similar patterns. 
eXp World Holdings (real estate brokerage) broke out of its base in June and has returned to test the upper boundary and the 200-day MA. If recovery is to be given the benefit of the doubt, it will need to find support in this area.
Japan’s Systems Engineering Consultants has first step above the base characteristics.
PTC Inc develops internet ready sensors for the “internet of things”. The share remains on a consistent recovery trajectory. 

Back to top

You need to be logged in to comment.

New members registration