A total of $270 million in tokens will be unlocked, which may lead traders to avoid trading these altcoins due to potential risks.
The upcoming week will see a significant token unlock event in the cryptocurrency market, with Sui (SUI) being one of the prominent tokens affected. Tokens with a total value of $270 million will unlock within the next week.
This will also impact other alternative cryptocurrencies like Solana (SOL), Worldcoin (WLD), and Zetachain (ZETA). Therefore, in order to avoid taking on some degree of risk, traders might choose to refrain from trading these tokens throughout the forthcoming week.
Overview of Upcoming Altcoins Token Unlocks
The unlocking of 64.19 million SUI tokens, which are valued at $51.60 million, will take place on September 1st. This release increases the token’s circulating supply by 2.47 percent.
It is possible that SUI will feel negative pressure as a result of the massive number of tokens hitting the market. This is because some investors may decide to sell their holdings. This could potentially lead to a decrease in the market price of the holdings.
TokenUnlock has reported that ImmutableX (IMX) will release 32.47 million tokens on September 6th, with a total value of $47.41 million. This unlock accounts for a total of 2.06% of IMX in circulation.
As a result of the increased supply of these tokens, the Altcoins market may experience volatility. This is due to the potential for the additional supply to not immediately match the demand. It is possible that it will result in a short-term price decline.
On September 1st, ZETA will also provide users with a significant token unlock. The unlock will distribute 53.89 million tokens, totaling $26.63 million. This constitutes a hefty 15.71% of the total amount that is currently in circulation.
The enormous amount of tokens unlocked presents the potential for significant market movements. This is especially true in the event that a considerable number of holders subsequently elect to sell their holdings.
Taiko (TAIKO) plans to release 12 million tokens on September 5th, with an estimated value of $20.04 million. This particular release accounts for 19.02% of the total quantity that is currently in circulation, making it one of the most significant token unlocks of the week.
The huge increase in supply has the potential to destabilize the market value of alternative cryptocurrencies, particularly in the event that the market is unable to swiftly absorb the additional tokens produced.
Other Tokens Awaiting Unlock
On September 1, dYdX (DYDX) will release 8.33 million tokens valued at $7.89 million. Estimates indicate that this unlock represents 3.67 percent of the total supply.
DYDX may still be subject to price volatility as a result of the abrupt increase in supply, despite the fact that the percentage of the circulating supply that is being unlocked is smaller in comparison to that of other tokens.
The final event is that on September 6, a big token unlock will take place for Mode (MODE), which will result in the release of 500 million tokens onto the market. The unlock in question is worth a remarkable $6.45 million and accounts for 38.46% of the total quantity that is currently in circulation.
The massive volume of unlocked altcoins may lead to strong selling pressure, making MODE particularly vulnerable to price fluctuations during this timeline. In addition to these significant token cliffs, a number of the most prominent alternative cryptocurrencies will undergo daily linear unlocks, which will further contribute to the dynamics of the market.
For instance, Solana will release 66.54 thousand tokens daily, with a total value of $9.31 million. On the other hand, Polkadot (DOT) will have daily unlocks of 441.35 thousand tokens, which are worth a total of $1.88 million.
Every day, the NEAR Protocol (NEAR) and SEI will unlock additional tokens, potentially influencing the market’s overall supply and exchange rates.
