Latest zkPass (ZKP) Price Analysis

Deep Dive

1. Airdrop Sell-Off (Bearish Impact)

Overview: ZKP debuted on Binance Alpha, KuCoin, and MEXC on December 19, accompanied by airdrops for eligible users (e.g., 200 ZKP per Binance Alpha participant). Claims began as trading opened, creating immediate sell pressure.

What this means: Airdrop recipients often liquidate tokens quickly to secure profits, especially in volatile markets. With 20.16% of ZKP’s 1B total supply circulating, the sudden influx of sell orders likely overwhelmed buy-side liquidity. Social media reports (@GutisBTC) confirm smooth claim processes, enabling rapid selling.

Key metric to watch: Exchange inflow/outflow data for ZKP to gauge whether selling pressure is easing.

2. Launch Volatility (Mixed Impact)

Overview: New listings on major exchanges like Binance Alpha often trigger extreme volatility. ZKP opened at $0.09 (@cryptogics) but faced a 44% drop within hours.

What this means: Initial price spikes from limited liquidity and hype frequently reverse as early buyers take profits. The 593,450% surge in 24h trading volume to $55.9M signals frenetic activity typical of new listings.

Key metric to watch: Stabilization of trading volume and bid/ask depth on major exchanges like KuCoin.

3. Altcoin Weakness (Bearish Impact)

Overview: Bitcoin dominance rose to 59.14%, while the Altcoin Season Index hit 13 (“Bitcoin Season”), reflecting capital rotation away from riskier assets.

What this means: In fear-driven markets (Fear & Greed Index: 21), investors favor Bitcoin over newer tokens like ZKP. The broader altcoin market fell 4.87% weekly, compounding ZKP’s decline.

Conclusion

ZKP’s plunge stems from a mix of airdrop-driven selling, launch volatility, and sector-wide risk aversion. While the protocol’s focus on zero-knowledge data verification holds long-term promise, short-term sentiment and tokenomics are dominating price action.

Key watch: Can ZKP stabilize above its initial $0.09 support level, or will airdrop-related selling push it lower? Monitor exchange reserves and Bitcoin’s dominance trend for clues.