Honey Prices Soar 43 Due to Hivemapper Network Growth
HONEY, the indigenous currency of the Solana-based decentralized mapping initiative Hivemapper, has surged over 40% despite a broader decline in other cryptocurrencies.
The price of HONEY has increased by 43% in the last 24 hours and currently stands at $0.08141. The daily trading volume for this crypto asset has seen an increase of over 16x, reaching around $7.2 million.
The market cap of HONEY has also experienced a significant increase of over 56%, now standing at $161.9 million. However, despite this growth, the token is still down 81% from its all-time high of $0.4315, which was achieved on December 7, 2022.
The decentralized mapping network has a circulating supply of 1.9 billion HONEY tokens, with a total supply of over 6.3 billion tokens.
Hivemapper is a key player in the Decentralized Public Infrastructure (DePIN) space, aiming to surpass Google Maps, which has over a billion monthly active users.
The approach of Hivemapper involves gathering mapping data through contributors who install Hivemapper dashcams in their vehicles. These contributors map the roads as they drive and earn Hivemapper’s HONEY tokens. The rewards for these tokens vary based on the demand for mapping specific roads.
Not only do drivers benefit from this system, but individuals who verify the mapping data submitted by volunteers also receive payments in HONEY tokens.
According to a report by asset-management giant Franklin Templeton in June, Hivemapper is an early mover in the DePIN sector, but it faces challenges with lagging demand for its services.
The recent surge in the value of HONEY tokens is due to the growth of Hivemapper’s network, which has mapped over 13.8 million unique kilometers. Users have collectively mapped more than 262.55 million kilometers, primarily in the United States, Canada, Europe, and East Asia.
However, large nations such as China and Russia, as well as continents like Africa, are inadequately mapped, posing a significant challenge to HiveMapper. According to their website, only 23% of the earth has been covered.
The network competes with established services like Google Maps and Apple Maps, which are pre-installed on smartphones, making it difficult for Hivemapper to gain market share.
However, unlike web2 services such as Google Maps, Hivemapper compensates volunteers with monetary pay instead of nonmonetary bonuses and rewards related to their products and services.
As a result, Hivemapper’s HONEY token has appreciated in value as investors anticipate more route capacity. Furthermore, the token’s value has skyrocketed as traders seek to profit from the recent drop in HONEY. In June, the token fell by more than 94% from its peak, prompting traders to buy the dip because they believe it is one of the strongest use cases for DePIN, a sector that is predicted to expand.
Additionally, the HONEY token’s price increase was bolstered by the launch of an upgraded version of the Hivemapper website and the token’s listing on Kraken Pro, a major cryptocurrency exchange.
Technically, the token also benefited from forming a bullish chart pattern known as a falling wedge, which typically leads to a significant breakout when it reaches its confluence zone.
