Unlocking tokens within the crypto market, particularly in June 2024, signifies significant movements amounting to over $771 million in asset releases. ARB, APT, STRK, DYDX, and SUI tokens have experienced unlocks ranging from 2.59% to 11.91% of their total circulation. These unlocking events have led to varying market reactions, with price fluctuations spanning from -15% to +11% within a few days.
According to Token Unlocks data, it is anticipated that approximately $771 million worth of crypto assets will be unlocked by June 2024. Token unlocking refers to the process by which held tokens become available for trading or utilization, typically following a outlined schedule in a whitepaper or project agreement.
Such unlocking procedures can introduce market volatility, generate selling pressure, and impact the market's perception of the token, contingent on the response of token holders. Let's delve into the specifics of the five major cryptocurrencies with prominent unlocks in June 2024:
Arbitrum (ARB)
On June 16 2024, ARB unlocked 92.65 million tokens, equivalent to 3.49% of the total circulation, valued at $110.25 million. These unlocked tokens are allotted to various entities like teams, advisors, and investors. Notably, a similar unlocking occurred on May 16 2024, resulting in a price decrease of -4.5% initially and a subsequent rise of +11% post-unlocking.
Aptos (APT)
APT's June 12 2024 unlock of 11.31 million tokens, constituting 2.59% of the total circulation and valued at nearly $102.92 million, is primarily designated for the Aptos Foundation, community, contributors, and investors. A decline of -9.3% in price was observed two days after the recent unlocking event on May 12 2024.
Starknet (STRK)
In the case of STRK, the unlock on June 15 2024 showcased 64 million tokens, representing 5.61% of the total circulation with a value of $80 million. These tokens are chiefly distributed among early contributors and investors, with a price decrease of -10.4% recorded two days following the unlock on May 15 2024.
dYdX (DYDX)
June 1 2024 saw DYDX unlock 33.33 million tokens, accounting for 11.91% of the total circulation and valued at approximately $69.67 million. This allocation targets investors, founders, and their teams, possibly leading to short-term price corrections due to selling pressure.
Sui (SUI)
SUI's unlock of 64 million tokens on June 1 2024, equivalent to 2.78% of the total circulation and valued at $69.11 million, is distributed among series A and B investors, early contributors, Mysten Labs treasury, and community reserves. A notable price drop of -15% occurred a week after the unlock on May 3 2024.
Looking ahead in the dynamic crypto landscape, the future outlook for ARB, APT, STRK, DYDX, and SUI appears promising. Despite short-term price fluctuations post-unlocks, the fundamental prospects of these tokens remain robust. As the crypto market evolves and matures, these projects are positioned to demonstrate resilience and innovation, fostering positive growth within the industry.
Further Reading
- DYDX Price Analysis: dYdX Prices Dips to $1.5
- Financial Advisors Pivot: From 1% to 5% Bitcoin Allocation?
- Unlocking Crypto Assets May 2024 Revealed: Are you Buying or Selling?
- Aptos Token Unlocks: Opportunity or Market Instability?
- Token Unlockings: Optimism, 1inch, and Sui Tokens to be Unlocked Worth Millions
The analysis of the five major token unlocks in June 2024 – ARB, APT, STRK, DYDX, and SUI offers insights into the potential buying or selling strategies in the crypto market.
