Metaverse market has seen significant growth in recent years. People believe that it will be a space consisting of multiple virtual worlds. Roblox Corporation (NYSE: RBLX) is among the pioneers in this sector to offer immersive and engaging experiences to users. RBLX stock has lost around 75% value this year, probably due to catastrophic conditions in the world market and crypto sector. Digital asset space is important as experts believe they are going to be a vital element in the metaverse.
Roblox Has Attracted Popular Brands
The company shares gained 1.43% yesterday closing at $27.58 on Tuesday. Roblox announced their collaboration with Adobe, a software company, in September 2022. Alongside user engagement, it will enable creators to use designs from Adobe Substance 3D Designer and Painter into the Roblox Studio. Adobe’s tools are deemed as industry standard by several professions.
Their metaverse platform has attracted big industry brands in the past. Spotify, a music streaming company, has created Spotify Island having 22.1 Million user visits to this date. Chipotle, a Mexican restaurant chain, has 21.1 Million visits. Players can deliver burritos all over the town to earn rewards. Gucci, an Italian high-end luxury fashion house, announced the launch of Gucci Garden on the platform.
RBLX Stock Price Action
Regression channel shows that the RBLX stock is exploring buyers zone. It broke the resistance in July 2022 for a day, reaching $44.5 on July 8, 2022 and closing at $41.25. Similar instance was visible in August 2022 when share value changed hands at $53.44. 22 experts at TradingView believe that its value can rise by over 90% to $54 in a year. Similarly, they see a potential downfall by over 30% during a similar time frame.
Currently, Roblox is competing against rivals like Meta (NASDAQ: META), Nvidia (NASDAQ: NVDA) and more. The Wall Street Journal reported in October 2022 that Horizon Worlds, a virtual world by Meta, has lost around 100K users this year. They’ve reduced their target from 500K users by this year’s end to around 280K.
Nvidia’s Omniverse allows developers to create photorealistic metaverse objects. Forbes reported that BMW is using the platform to visualize how their future factories will be like. According to Meta, upcoming years will require 500X computing capacity to perform tasks. Experts believe that metaverse infrastructure will require $13 Trillion to $16 Trillion by this decade’s end for development.
Social media is an example of how people want to stay connected to their family and friends and Roblox has made it more immersive for the users. In 2021, metaverse was valued at $195.65 Billion while Citi, an investment bank, believes it can become a $13 Trillion industry by 2030.
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.