The crypto market is on the edge. Data from TokenUnlocks and Wu Blockchain shows that a significant amount of tokens will be unlocked in April. All activations together have a value of more than 1.3 billion euros.
The activations of the projects, which range from well-known names such as dYdX (DYDX) and Apecoin (APE) to lesser-known names such as Echelon Prima (PRIME), make up a significant part of the overall offering. If such volumes come back into the market, investors and analysts can expect possible price movements.
Wu Blockchain listed all unlocks with the exact date they occurred.
According to TokenUnlocks, in April, large value unlocks (unlocked value over $10 million) included DYDX ZETA SUI GAL APT CYBER STRK ARB APE AXS IMX PIXEL ID YGG AGIX OP PRIME with an unlocked value of more than $1.38 billion. pic.twitter.com/9z4lGB2p5X
— Wu Blockchain (@WuBlockchain) March 31, 2024
The largest crypto token will be unlocked in April by Aptos, dYdX and others
The data shows that DYDX will unlock 33.33 million tokens in April, representing about 11.35% of the total supply. This affects new tokens coming onto the market.
PRIME will release 1.66 million tokens in April. How many tokens a project releases depends, among other things, on how the project is set up. The value of the unlock also depends on how much a cryptocurrency is worth.
Aptos (APT) shows they are unlocking the most financial value with nearly $410 million worth of APT tokens. Below are the top three token unlocks based on their current dollar value.
| Crypto | number | Value |
|---|---|---|
| SUITABLE | 24.84 million | $409.89 million |
| ARB | 92.65 million | $151.94 million |
| STRK | 64.00 million | $136.32 million |
Unlocks can impact crypto prices
While some in the industry see token unlocks as a routine part of the crypto landscape, analysts and investors are drawing attention to the potential impact of such events on price stability and market liquidity.
To estimate the impact, one looks at, among other things, the ratio of activations compared to the existing offer, also known as the Offer ratio called. Below are the five unlocks that could potentially have the biggest impact, as unlocks represent a large percentage of existing supply:
| Crypto | number | Value | Offer ratio |
|---|---|---|---|
| DYDX | 33.33 million | $113.33 million | 11.35% |
| STRK | 64.00 million | $136.32 million | 8.79% |
| AXS | 10.87 million | $117.39 million | 7.63% |
| PIXEL | 54.38 million | $39.67 million | 7.05% |
| SUITABLE | 24.84 million | $409.89 million | 6.25% |
A significant release can create selling pressure and cause prices to temporarily decline as the market tries to absorb the oversupply. On the other hand, a smooth market uptake of these tokens could be a sign of strength and confidence in the project.
Given the significant amounts to be released next month, it is advisable to continue to monitor developments closely. The coming weeks will show how these activations affect the market.
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