On Dec 6, 2017, District0x (DNT) fell to an all-time closing low. The following day it was listed on Coinbase Pro with three other ERC20 tokens.
Following a minor bump in value, DNT increased in value until Dec 10. Subsequently, the value of DNT crashed again.
DNT uses Ethereum, Aragon, and IPFS as the basis of a platform which allows users to build and monitor decentralized “districts.” These districts are supposed to serve as virtual marketplaces and communities. Thus far, only three districts have been deployed on the platform, and if more aren’t deployed soon, District0x’s demise may be inevitable.
Major Price Fluctuations Following Binance Listing
DNT was listed on Binance on Oct 16, 2017. It closed at USD($)0.04438896. Over the following days, it benefited from the Binance bump, a phenomenon which sees a coin or token grow in value immediately after a listing on Binance.
This trend continued until Oct 24 when Binance reached a closing value of $0.0690954. During this 8 day period, DNT’s value increased by 56.76 percent.
Following the bump, there was the subsequent Binance dump, the phenomenon following the Binance bump in which a coin or token loses most or all of the value it gained.
On Oct 28 DNT, reached a then-closing low $0.04295945. Two days of growth followed with three days of loss leading to a new all-time closing low of $0.03579588 on Nov 2.
Between Oct 24 and Nov 2, DNT lost 48.18 percent of its value.
General Price Trends of District0x
In the graph below, the daily closing value of DNT during each of the 424 days of trading on Binance (Between Oct 16, 2017, and Dec 14, 2018) is shown:
Included on the graph are three trend lines. Each are discussed in greater detail below:
The increase from the closing value on Oct 16, 2017, to the closing high on Jan 3, 2018
82 days after being listed on Binance, DNT would reach its all-time closing high of $0.40226967, increasing over 800 percent in value.
The decrease between the Jan 3 high and the all-time closing low reached on Dec 6
Following the high reached on Jan 3, DNT would see steady declines until reaching an all-time closing low of $0.010593 on Dec 6, 2018, an overall loss of 97.37 percent.
The overall decrease in value from the Oct 16, 2017 starting point to Dec 14
The listing on Coinbase Pro correlated to a bump in value. Subsequently, a dump began. On Dec 14, DNT was valued at $0.1109215, losing over 75 percent of the value held when first listed on Binance.
Decreasing RSI Correlates with Decreasing Price
Though not charted, DNT continued falling in value on Dec 15, 2018, dropping below $0.1109215. At the time this article is being written, DNT has not reached a new all-time closing low.
Using RSI as an indicator, we see that a period of increasing prices correlated to a period of increased buying while a period of decreasing prices correlated to a period of increased selling. Currently, RSI is falling as the price of DNT falls. Though it is possible for DNT to begin increasing in value, it is likely that the dump will continue until DNT is listed on another exchange, more districts are deployed on the District0x platform, or other unforeseen qualitative factors occur to drive the price of DNT up.
Comparing DNT to Other ERC20 Tokens Listed on Coinbase Pro
The three other ERC20 tokens listed on Coinbase Pro on Dec 7 include CIVIC, LOOM, and MANA. Both CIVIC and LOOM have faced similar losses in value since first being charted by TradingView.
LOOM has performed the worst after losing over 90 percent of its value in a 225 day period:
CIVIC performed better than both LOOM and DNT, losing 68.82 percent of its value in 514 days:
Of these four tokens, only MANA has increased in value during its 380 days on TradingView. It has made substantial price gains of over 300 percent:
DNT, like LOOM and CIVIC, were listed on Coinbase Pro — despite longitudinal losses. The reason for their listing is unclear. There are rumors of collusion, but these are still just rumors. All we know for certain is that the only one of the four ERC20 tokens to have gained value over a long-term period is MANA.
Of course, there may still be hope for DNT. Do you think that new districts deployed on District0x can help save the platform?
Images courtesy of TradingView.