Altcoins
Altcoins will be sold based on upcoming token unlocks
The ever-changing world of cryptocurrencies is gearing up for another paradigm shift in the prices of some altcoins. Mainly due to the upcoming massive token unlocking, these altcoins will bear the brunt of a significant price drop in the coming days.
This price drop could prompt traders and investors to sell their holdings in order to mitigate losses. So, let’s take a closer look at these altcoins and the next tokens to be unlocked.
Token Unlock Raises Bearish Concerns
Token unlocking, a phenomenon when previously locked tokens are unlocked and released to the market, typically results in significant downward pressure on prices. This happens due to the influx of supply, negatively affecting tokenomics.
In particular, the altcoins that face this influx include io.net (IO), dydx (DYDX), Maverick Protocol (MAV), Galxe (GAL), Echelon Prime (PRIME), ZetaChain (ZETA), Manta Network (MANTA), Acala ( ACA), Liquidity (LQTY) and Tornado Cash (TORN). Let’s dig deeper into the unlocks.
io.net (IO)
The altcoin IO remains poised to face a release of 8.27 million IO, worth $26.79 million, on July 1. This represents 8.70% of the total circulating supply.
Recent studies show that unblockings equal to or greater than 1% pose a significant threat to prices. This cliff-edge unblocking could prompt traders and investors to sell their holdings.
dydx (DYDX)
Meanwhile, the DYDX cryptocurrency will see an unlocking of 8.33 million coins, worth $11.25 million, on July 1. This is equivalent to 3.12% of the circulating supply.
DYDX was trading at $1.35 today, down 2.47% in the last 24 hours. A price decline could be possible in the future, in line with the massive unlocking.
Maverick Protocol (MAV)
MAV crypto will see 39.87 million coins, worth $10.30 million, unlocked on July 1. This is equivalent to 15.95% of the total circulating supply.
MAV is trading at $0.2579, down 3.77% over the last 24 hours.
Galxe (GAL)
The GAL token will be unlocked for 3 million coins worth $6.43 million on July 5. This is equivalent to 2.60% of the circulating supply.
GAL was trading at $2.14, down 3.97% over the past day.
Prime Level (PRIME)
The PRIME altcoin is well positioned to witness the release of 750,000 coins, worth $6.42 million, on June 30. This represents 1.83% of the total circulating supply.
PRIME was trading at $8.57, an increase of 1.94% from the previous day.
Zeta Chain (ZETA)
The ZETA token will see the release of 6.30 million coins, worth $5.05 million, on July 1. This equates to 2.29% of circulating supply, a significant threat to the price.
ZETA stood at $0.802, down 1.33% over the past day.
Manta Network (MANTA)
Simultaneously, the MANTA coin is expected to unlock 3.07 million tokens, worth $3.15 million, on June 30. This is equivalent to 0.94% of the circulating supply.
MANTA was trading at $1.02, up 1.61% over the past day.
Read also: XRP Price Recovery: Will XRP Be Top 5 in 2024?
Acala (ACA)
The ACA altcoin will face an unlocking of 27.43 million coins, worth $1.83 million, on July 1. This is equivalent to 2.69% of the total circulating supply.
ACA is trading at $0.06681 today, down 2.36% over the past day.
Liquidity (LQTY)
Similarly, the LQTY coin will see an unlock of 695.71k tokens, worth $585.21k, on July 5. This represents 0.72% of the circulating supply.
LQTY settled at $0.8406, down 2.15% over the past day.
Tornado Cash (TORN)
The TORN altcoin is expected to see an unlock of 91.67k coins, worth $254.83k, on June 30. This represents nearly 2.41% of the circulating supply.
TORN price fell 0.99% to settle at $2.78 today.
Read also: What is behind Curve Finance founder’s massive transfer of CRV tokens?