Investment Disclaimer:

• I am not a registered investment, legal, or tax adviser or a broker/dealer, and all opinions expressed by me are from my research for educational purposes only.
• Past performance presented here is not an indicator of future performance.
• This post expresses my own opinion about the cryptocurrency mentioned herein and is not an offer to buy or sell, or a solicitation of any offer to buy or sell the cryptocurrency mentioned in this post.
• I do hold a long position in SAND as a token holder.

0. What is Sandbox?

Sandbox is a decentralized gaming ecosystem built on Ethereum blockchain where players can build, own and monetize their virtual assets as NFT. 

1. Top 3 Good News for SAND HODLERS !!!

• PwC Hong Kong Buys Land in Ethereum-Powered Metaverse ‘The Sandbox’ ($SAND)
  Statistic as of 2021-12-27 00:24 AM EDT: 33 positive votes, 1 negative vote
  (Extracted from Crypto Panic)
  
  
• Snoop Dogg Builds Mansion Inside the Sandbox Metaverse
  Statistic as of 2021-12-27 00:24 AM EDT: 17 positive votes, 3 negative votes
  (Extracted from Crypto Panic)
  
  
• The Sandbox co-founder wants to defend metaverses against Big Tech
  Statistic as of 2021-12-27 00:24 AM EDT: 9 positive votes, 0 negative vote
  (Extracted from Crypto Panic)

2. How Sandbox Performs Relative to Other Cryptos ?

Performance of All Cryptos Under Quantdoge Watchlist in 2021 (Sorted by % Return)

SAND has undergone 18,858.54% return from USD 0.0357 to USD 6.7682 since 01 Jan 2021
SAND is the second best performing crypto asset among others here.

3. How Resilience Sandbox Is Towards Bitcoin Crash Relative to Other Cryptos ?

Historically, all altcoins are somewhat dependent on Bitcoin price movement and it’s often the case where if Bitcoin falls, most altcoins would follow.

Top 3 Cryptos That Are Most Resilient To Bitcoin Crash During Each of BTC 4 Largest Crashes in 2021

SAND has proven resilience against BTC crash in 1 out of the 4 instances.
During the last 4 BTC market crashes,
            When BTC dropped by -13.47 %, SAND returned -35.69 % at 20 May 2021,
            When BTC dropped by -13.13 %, SAND returned 104.11 % at 22 January 2021,
            When BTC dropped by -12.16 %, SAND returned -17.71 % at 13 May 2021,
            When BTC dropped by -11.39 %, SAND returned -24.19 % at 22 June 2021
           

4. Technical Analysis on Sandbox

4.1. Volume Weighted Average Price (VWAP)

VWAP is a technical indicator used by a trader to gauge the overall trend of an asset price movement. VWAP line (orange line) represents the volume-weighted average price (average price here is defined as the average of high, low and close prices) while close price line (blue line) represents the price when SAND is closed at the end of every single day. 

Whenever blue line (close price) is above orange line (VWAP), it indicates that the asset is gaining momentum and being traded higher than its average price level. This would represent a 'buy' opportunity for short-term momentum trader whom task is to trade following the trend while a longer term mean-revision trader might take it as a 'sell' opportunity, anticipating that the price of SAND (blue line) to fall to its average level (orange line).

Whenever blue line (close price) is below orange line (VWAP), it indicates that the asset is losing momentum and being traded lower than its average price level. This would represent a 'sell' opportunity for short-term momentum trader whom task is to trade following the trend while a longer term mean-revision trader might take it as a 'buy' opportunity, anticipating that the price of SAND (blue line) to rise to its average level (orange line).

As of 26 Dec 2021, VWAP is suggesting that SAND has been gaining massive momentum as Bitcoin price recovers.

4.2. Moving Average Convergence Divergence (MACD)

MACD is often used by trader as a momentum indicator. There are 2 lines that form the above charts, namely MACD (12, 26) lines and Signal(9) line, while the histogram is calculated by subtracting Signal (9) from MACD (12,26). Histogram would fall to the negative territory whenever MACD (12, 26) is trending at a lower level than Signal (9) and rise to the positive territory whenever MACD (12,26) is trending at a higher level than Signal (9).

MACD (12, 26) is computed by subtracting the 26-day exponential moving average (EMA) of SAND closing price from its 12-day EMA. 
Signal (9) on the other hand is calculated as the 9-day EMA of MACD (12,26). 

As MACD (12, 26) goes higher away from Signal (9), it signifies that SAND is gaining momentum and whenever it goes trends at a lower level than Signal (9),it signifies that SAND is losing momentum. 

As of 26 Dec 2021, MACD is suggesting that SAND has been gaining massive momentum as Bitcoin price recovers.

4.3. Bollinger Band

Bollinger band is often being used by mean-reversion trader as a gauge to assess how undervalued or overvalued an asset is. Its chart made up of 4 lines, namely:

- SMA (20) (blue line), which is the 20-day simple moving average price of SAND
- Upper Band (orange line), which is computed by adding 2 standard deviations of SAND on SMA (20)
- Lower Band (red line) , which is computed by subtracting 2 standard deviations of SAND from SMA (20)
- Close (green line), which is the daily closing price of SAND

Whenever close line (green) touches the lower band (red), it indicates that SAND is corrected too much and is being traded at an undervalued level, representing a 'buy' opportunity. On the other hand, whenever close line (green) touches the upper band (orange), it indicates that SAND is gaining too much momentum and is being traded at an overvalued level, thus indicating a 'sell' opportunity. 

As of 26 Dec 2021, Bollinger Band is suggesting that SAND is overvalued.

4.4. Relative Strength Index (RSI)

Just like Bollinger Band, Relative Strength Index is often being used by mean-reversion trader as a gauge to assess how undervalued or overvalued an asset is. There are 2 psychological levels, i.e. 30 and 70 in RSI. Whenever the RSI reaches 30, it indicates that SAND is corrected too much and is being traded at an undervalued level, representing a 'buy' opportunity. On the other hand, whenever RSI reaches 70, it indicates that SAND is gaining too much momentum and is being traded at an overvalued level, thus indicating a 'sell' opportunity. 

As of 26 Dec 2021, RSI is suggesting that SAND is overvalued.

Based on the technical analysis presented above, quantdoge thinks that SAND price has a fair chance to be corrected to its normal price level hovering around USD 6.00 to USD 6.10, but I could be wrong, hence please make your careful due diligence before making any financial decision. 

5. Sandbox Risk Profile

Based on the 100-day 95% historical Value-at-Risk (VaR) profile of Sandbox defined above, SAND seems to trade at a lower risk level on 26 Dec 2021 as compared to 10 days before on 16 Dec 2021, with its biggest pullback being seen at -19.41% on a single day during the last 100 days. However, I could be wrong, hence please make your careful due diligence before making any financial decision.

6. Price Simulation for Sandbox

How did quantdoge simulation perform vs the actual SAND price movement over the last week ?

Over the last 7 days, SAND is trading beyond the upper 75th quantile of all quantdoge simulations, indicating that SAND is overbought and is greatly overvalued. 

7. Google Trends Analytics

sandbox game reached its peak in Google Search on 2021-11-28 with a Google Score of 100
Over the last quarter, sandbox game Google Score has increased 74.37 % from 34.6 to 60.33
Over the last 6 months, sandbox game Google Score has increased 74.88 % from 34.5 to 60.33

Over the last month, sandbox game is most saught after in Slovenia, followed by Myanmar and Singapore.

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