Why Token Unlocks Matter in Crypto
If you’ve been watching the crypto market lately, you’ve probably heard about token unlocks. They’re not just some obscure detail—they can actually move prices. Basically, when a project releases a chunk of previously locked-up tokens into circulation, it changes the supply. And if demand doesn’t keep up? Well, prices can take a hit.
Not every unlock spells trouble, though. Sometimes the market shrugs it off. Other times, it’s a bigger deal. It really depends on who’s getting the tokens and what they plan to do with them. Early investors might cash out, while teams might hold. There’s no one-size-fits-all answer.
Big Unlocks Coming This Week
A few projects have major unlocks lined up over the next few days. Here’s the breakdown:
– **RESOLV**: On June 24, 60 million tokens (worth about $11.3 million) will unlock. That’s a hefty 42.58% of its circulating supply.
– **VENOM**: June 25 sees 56.9 million tokens ($9.6 million) released, making up 2.73% of supply.
– **GT**: The big one—6.67 million tokens (over $106 million) unlock on June 26. That’s 5.42% of supply.
– **AXL & GRASS**: Smaller unlocks follow later in the week, but GT’s the one to watch.
The GT unlock is interesting because of the sheer dollar amount. $106 million hitting the market could stir things up, depending on who’s selling.
How Unlocks Actually Affect Prices
In theory, more supply + same demand = lower prices. But crypto’s never that simple. Here’s what really happens:
– **Selling pressure** spikes if early backers dump their tokens.
– **Volatility** tends to jump around unlock dates—traders get jumpy.
– **Sentiment** takes a hit if unlocks keep piling up.
But here’s the thing: strong projects can weather it. If a token’s got real use and demand, a little extra supply might not matter much. Weak ones? Not so much.
What to Do About It
If you’re holding any of these tokens, it’s worth asking:
– Who’s getting the unlocked tokens? (Check the project’s docs.)
– Is the market in a good mood, or is everyone skittish?
– How big is the unlock compared to daily trading volume?
Sometimes it makes sense to trim a position before an unlock. Other times, it’s a buying opportunity if the price overreacts. Either way, knowing what’s coming helps.
Token unlocks aren’t the only thing moving markets, but they’re one of those behind-the-scenes factors that can catch you off guard. This week, GT’s the headline—but don’t sleep on the others.
