If you have been following the Splinterlands market and are traders, in this case cards, which is what the market is based on, you must have noticed a significant drop in the prices of different cards from the "Conclave Arcana" edition. If you saw this, I imagine you are thinking that this is negative, that the trend is now bearish, and that all it will do is lower the price of this edition. However, for me, it represents a good opportunity, and that is why today I want to write a different kind of post to explain how the market works and how to see opportunities that others cannot see.
While this may be obvious to many other players, the fact is that newer players don't have all the information, or simply don't know how to analyze it. they don't have the details, and that's our job as content creators, to inform and/or educate about this, so that newcomers to the ecosystem are truly informed and able to make decisions based on a well-founded analysis and logic. So, based on this, today you will learn how to analyze the Splinterlands market, both fundamentally and technically.
**So, if you want to take advantage of these opportunities, stick around until the end of this post because you're sure to learn a lot about how this whole ecosystem works, especially the market, which is one of the aspects that most interests new players.**

# Understanding “Market Contraction”

As everyone knows, or at least the vast majority except for the newest players, when a new edition is launched in Splinterlands, it is always accompanied by a "Pre-sale," a phase where the biggest investors, mostly "Whales," those with a lot of purchasing power, buy hundreds and in some cases thousands of "Packs" of that SET, with the intention of positioning themselves early and taking advantage of the low prices, promotions, and bonuses that come with purchasing certain quantities. This is always done by the most veteran players, but why do they do it?
Simply because the idea behind every new release is to position yourself first, which gives you the opportunity to get better entry prices, basically cheaper. Now, after some time has passed since the release of "Conclave Arcana," something that usually drives prices up, that's when the "Conflicts" begin, the new "Airdrops" system that distributes "Legendary" cards to all players who have both "Packs" and cards from the same edition. So, if you want to earn points that will help you win these cards, you must place the aforementioned assets in a kind of "Staking," which drives demand.
**Now that we have a clear understanding of how to take advantage of the market, basically by being the first to offer pre-sales and driving demand with "Conflicts," we have the following question:**

### Why is the market contracting, and what is causing the decline in card prices?

As you can see in the image, the prices of practically all cards have fallen sharply, dropping by 98% to 99% across all rarities. This is because the main players who bought these assets early on want a return on their investment for the thousands or hundreds of packs they purchased in the "PRE-SALE." In fact, with this purchase, they were able to complete their deck of "Conclave Arcana" almost entirely, while the rest (many cards) have been put up for sale, increasing the "supply" and lowering prices.
But this always happens in every market, not just with Splinterlands and its cards. this is how investment logic works, and when you understand it, you know what you have to do, especially if you know the solid fundamentals that can catapult the prices of these assets again, leaving a gap of buying opportunities to complete decks and, if you want, increase your rewards for playing. This is the strategy, something they don't tell you out there, and you have to figure out for yourself how things work.

# Fundamentals and analysis of the opportunity for strategic investment in "Conclave Arcana"

In order to make informed and supported investment decisions, you must conduct an analysis. This analysis must take into account certain aspects of the game, or in this case, the "Edition," to conclude whether it could be a good or bad investment. So, to help you understand this, I will explain the reasons why the "Conclave Arcana" edition could be a very good investment in the long term, looking two or three years into the future.

### The game mechanics of Conclave Arcana

Something that revolutionized the game and continues to do so are the new mechanics introduced in the "Conclave Arcana" edition. Thanks to this, basically all of this is the basis of the current "Metagame," so understanding this will help you evolve as a player and apply the most powerful strategies available today. But what are these mechanics? Let me show you:
* **The Bloodlines:** This is the main mechanic that was introduced with the arrival of "Conclave Arcana," since now all monsters and/or units have a specific origin, or, in other words, they have and possess their own race. This allows you to play cards from the same bloodline or race without them needing to be part of the same element or "Splinter," which further amplifies the gameplay and strategies that can be applied. This mechanic brings with it the powerful ability of the new archons called "Bloodline Dominion," which allows you to play in the manner explained above.

* **Other powerful Abilities:** These abilities complement strategies that are part of the current "Metagame," so if you want to surprise any opponent and win battles, you must master these abilities that cement the competitive and monetary value of this SET. These abilities are (Resurgence, Final Rest, Last Word, and Painforge).

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**Reasons and opportunities**
>* **Low prices:** This massive devaluation of cards represents a very good opportunity to build highly competitive decks. The strategy of buying on the dip is the best thing to do right now, considering that Arcane Conclave is part of the most competitive format in Ranked, which is Modern, and additionally, its lifespan and permanence here is at least two years. So, this META will remain for a while, which will bring demand.
>
>* **Potential for appreciation:** As demand for building decks to participate in the modern format grows, the potential for revaluation will become even greater, so, in my opinion, now is the best time to build one or more decks. Of course, NFA DYOR.
>
>* **The Archetypes of Decks with the Greatest Potential:** The decks with the greatest potential depend solely on the skill and strategy used to build them. You need creativity to put these combinations together, but some of the really strong ones are (Bloodline Combo Deck, Tank Resilience Deck, and the risky deck called Anti-Metagame), or at least that's what I call them.

# Final thoughts

With all this analysis, reasoning, and learning about the markets in Splinterlands, you now have a high probability of positioning yourself as a good player. For my part, I am already thinking about applying various strategies to try to position myself. I will write a detailed post about this, as I will be selling my entire collection to buy a new one.
In any case, if you want me to write that post, please comment. Also, if you have any questions ab
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