Crypto Market Set for Major Token Unlocks in July

Summary:
The upcoming month of July is expected to bring significant volatility to the crypto market due to the unlocking of tokens valued at a total of $860 million across roughly 40 crypto projects. Major projects like Xai Crypto, Aptos, Arbitrum, and AltLayer are among those leading the unlocks, which could have substantial impacts on market prices and dynamics. Specifically, Xai Crypto will release 198 million XAI tokens worth $97 million on July 9th, while Aptos will unlock 11.3 million APT tokens valued at $79 million on July 12th. Arbitrum and AltLayer will follow with significant releases on July 16th and 25th, respectively.
Token unlocking can increase selling pressure and potentially drive prices down, but it’s not always negative. Smaller unlocks may have minimal impact, and some tokens have historically increased in value post-unlock. The impact of these events remains unpredictable, offering both risks and opportunities for investors.
In contrast, Bitcoin is seen as a more stable investment, benefiting from increasing institutional adoption and robust regulatory frameworks. Its longstanding blockchain and inherent security make it a safer option compared to the more volatile altcoins.
Author: Evans S.
Published: Sun, 30 Jun 2024