Fundamental Analysis
Responsible investing is not only about choosing the company or token that will multiply your money but also make the earth greener and rid it of poisonous pollutants. While the equity markets boast of several such companies and exchange-traded funds, the crypto investors had very few options until Intelligent Fluids GmbH introduced SmartChem (SMAC) tokens.
SMAC token is an ERC-20 token that has also been integrated into the Binance Smart Chain Ecosystem as a native BSC BEP-20 token.
Intelligent Fluids is a deep tech company that is set to disrupt the rapidly growing industrial cleaning market whose value is projected to exceed $54 billion by 2025. The innovative technology of Intelligent Fluids has numerous advantages over the existing solvent-based chemicals. It is dermatologically approved, reducing the risk to human health. It reduces energy consumption by 65%, benefiting the climate. There is 70% less necessity of waste disposal as it is biodegradable. As it does not require high operating temperatures and has no hazards, it reduces process costs. It is no surprise that the company has won several awards for its technology such as the Green Product Award in 2021, Blockchain Starts winner in 2019, NOURYON Imagine Chemistry Award in 2019, and many more.
The company is backed by a strong management team that has a combined science know-how of more than 58 years. In terms of entrepreneurship, the company boasts a total experience of 35 years, increasing the possibility of success.
With many advantages over the conventional cleaning systems and a strong management, the company is on track to capture market share from the existing players. Intelligent Fluids expects its revenue to grow to more than $400 million by 2030, a huge increase from its 2020 revenue of about $1.5 million. By 2030, the company anticipates its market share to increase to more than 5%. All this will be achieved by keeping an eye on profits, which are expected to reach over 40% by 2026.
While the trajectory of the company looks impressive, how will the token holders benefit? The company plans to raise funds through an initial DEX offering in partnership with ATNIR Capital. The initial token supply will be 150 million with the price being fixed at $0.007, leaving sufficient gains for the hodlers in the long term.
The IDO starts on May 4 and will end on May 8, giving an opportunity to investors to be part of a disruptive technology at a very early stage.
Owners of the token will be able to avail a 30% discount on Intelligent fluids products until 2022. The discount will reduce to 20% in 2023 and to 15% by 2024. The attractive discount structure suggests that the demand for the tokens may go up sooner than later as companies buy more tokens to avail greater discounts on the purchases of Intelligent fluids products.
According to an estimate by the company, by 2031, it would have sold an estimated 255 million litres of fluids, which is well above the total tokens in circulation.
Along with the potential profits from the increase in token value, investors can also be part of a project which claims to reduce carbon emissions by more than 50%, save 60% energy costs in the projects they undertake. In addition, investors will also end up supporting OceanCare, a marine wildlife protection project, and several other environment-friendly organisations.
Technical Analysis
The SMAC token has been trading inside a large range between $0.007 and $0.015 for the past few days. Even during the capitulation in the broader crypto markets, the token did not break below its support of $0.007, signalling strong demand at lower levels.
Usually, when the price is stuck in a range, traders buy near the support of the range and book profits at the resistance. Therefore, the bulls are likely to buy the dip near $0.007 and attempt a rally to $0.015.
A break and close above $0.015 will be the first indication that the SMAC/USD pair could be starting a new uptrend. The breakout from the range has a target objective of $0.022. This level could again act as a resistance but if bulls arrest the subsequent decline above $0.015, it will suggest that the level has flipped into support.
That will increase the possibility of the resumption of the up-move. The pair could then start its northward march toward $0.038 where the bears are again expected to mount a strong defence.
Contrary to this assumption, if the price turns down from $0.015, the pair could extend its stay inside the range for a few more days. The longer the price remains inside the range, the greater the subsequent breakout from it.
The first sign of weakness will be a break and close below $0.007. Such a move will suggest that the bears have overpowered the bulls. The pair could then drop to the strong support at $0.005.
This is a critical level for the bulls to defend because a break and close below it could start a new downtrend. The pair could then plummet to $0.0002.
On the contrary, if the price rebounds off $0.005 and climbs back above $0.007, it will suggest that the break may have been a bear trap. The pair could then again attempt a rally to the overhead resistance at $0.015.
Conclusion
The above risk factors aside, this method of fund-raising offers a high degree of flexibility for customers, liquidity for investors and a unique opportunity to benefit, as early adapter, from attractive discounts on fluid purchases or from a possible appreciating token value. Not to mention, the impressive eco-footprint that comes along with it.
Hopefully, you have enjoyed today’s article for further coverage please check out our crypto Blog Page. Thanks for reading! Have a fantastic day! Live from the Platinum Crypto Trading Floor.
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