Major token unlocks are imminent for some top cryptocurrencies. Savvy investors should steer clear of Solana, Dogecoin, and SUI this week to mitigate risks. Here's what you need to know.
Recent data from Tokenomist reveals that over 625 million dollars of altcoins are set to be unlocked in the next 7 days. These unlockings include both significant one-time releases and regular linear unlocks, both of which can disrupt the balance between supply and demand.
The main altcoins affected are SUI, OMNI, IOTA, and others. Their massive one-time unlockings pose a high risk of significant sell-offs that could shake the market.
On the other hand, Solana, WLD, TRUMP, TIA, DOGE, TAO, AVAX, and several others are facing substantial linear unlockings, with over a million dollars worth of tokens being released daily. This constant supply pressure could also impact their prices.
Despite an imminent unlocking of 67.61 million dollars, representing 0.09% of its circulating supply, Solana’s price has recently surged by over 2.5%. However, large holders could take the opportunity to make massive sell-offs.
With an unlocking of 17.09 million dollars expected this week, Dogecoin could also face pressure. Although relatively low in percentage, this market sentiment-sensitive meme coin could easily be impacted by unexpected sell-offs.
SUI is another altcoin to closely monitor. With cumulative unlockings of nearly 262.88 million dollars, approximately 2.27% of its supply, the risk is high. The one-time unlocking of 262 million dollars poses a significant threat to the stability of its price.
In conclusion, despite the apparent recovery of the cryptocurrency market and the renewed investor confidence, caution is advised before investing this week. These massive token unlockings could create downward pressure on key altcoins like Solana, Dogecoin, and SUI.
It will also be crucial to track the movements of whales, these large investors who can significantly influence market sentiment, as was observed last week. Stay vigilant and informed to navigate this volatile period effectively.
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
DISCLAIMER
This article is for informational purposes only and should not be considered as investment advice. Trading cryptocurrencies involves risks, and it is important not to invest more than you can afford to lose.
InvestX is not responsible for the quality of the products or services presented on this page and cannot be held liable, directly or indirectly, for any damage or loss caused by the use of any product or service featured in this article. Investments in crypto assets are inherently risky; readers should conduct their own research before taking any action and invest only within their financial means. This article does not constitute investment advice.
Risk Warning : Trading financial instruments and/or cryptocurrencies carries a high level of risk, including the possibility of losing all or part of your investment. It may not be suitable for all investors. Cryptocurrency prices are highly volatile and can be influenced by external factors such as financial, regulatory, or political events. Margin trading increases financial risks.
CFDs (Contracts for Difference) are complex instruments with a high risk of rapid capital loss due to leverage. Between 74% and 89% of retail investor accounts lose money when trading CFDs. You should assess whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Before engaging in financial or cryptocurrency trading, you must be fully informed about the associated risks and fees, carefully evaluate your investment objectives, level of experience, and risk tolerance, and seek professional advice if needed. InvestX.fr and the InvestX application may provide general market commentary, which does not constitute investment advice and should not be interpreted as such. Please consult an independent financial advisor for any investment-related questions. InvestX.fr disclaims any liability for errors, misinvestments, inaccuracies, or omissions and does not guarantee the accuracy or completeness of the information, texts, graphics, links, or other materials provided.
Some of the partners featured on this site may not be regulated in your country. It is your responsibility to verify the compliance of these services with local regulations before using them.
