Deep Dive
1. Technical Downtrend (Bearish Impact)
Overview: BLAST is trading at $0.000720, below its 7-day ($0.000758) and 30-day ($0.000765) simple moving averages. The 7-day RSI of 37.33 suggests bearish momentum without being deeply oversold.
What this means: The price is struggling to find support, indicating sustained selling pressure. When an asset consistently trades below its short-term averages, it often discourages new buyers and can lead to further declines as stop-losses are triggered.
2. Ecosystem Decline & User Exodus (Bearish Impact)
Overview: A report from The Defiant on 26 August 2025 noted Blast's DeFi TVL plummeted another 30% in a month to $65 million–a 97% drop from its all-time high. Daily active users fell sharply from a post-airdrop peak.
What this means: TVL is a critical health metric for Layer 2 networks. A rapid decline signals capital flight and reduced utility, directly undermining the fundamental value proposition of the BLAST token. This news, though from August, continues to shape the bearish narrative and lack of buyer conviction.
3. Crypto Gaming Sector Collapse (Bearish Impact)
Overview: Multiple reports, including a Decrypt article from 24 December 2025, detail a widespread collapse in crypto gaming due to dried-up venture capital funding, leading to game shutdowns and worthless assets.
What this means: Blast is closely associated with the gaming and NFT space (through its team's link to Blur). The sector-wide crisis creates a negative halo effect, reducing speculative interest in projects perceived as part of this struggling narrative. Investors are likely avoiding assets tied to this theme.
Conclusion
Blast's price is being pressured by a combination of weak technicals, fundamental ecosystem decay, and a hostile sector-wide narrative. For holders, this suggests continued volatility until there is clear evidence of user and capital returning to the network.
Key watch: Monitor for any stabilization or reversal in Blast's TVL trend, as this would be the first sign of fundamental recovery.