Major Sell-Off Alert: Will $800 Million Token Unlock Impact the June Crypto Market?

June brings $800 million crypto token unlock for ARB, APT, STRK, and OP, potentially impacting prices.
Major Sell-Off Alert: Will $800 Million Token Unlock Impact the June Crypto Market?

Key Insights

  • Over $800 million worth of crypto tokens are set to unlock in June.

  • This could affect the price of four specific cryptocurrencies: Arbitrum (ARB), Aptos (APT), Starknet (STRK), and Optimism (OP).

  • Previous token unlocks for these projects had mixed results, with none of them declining drastically

  • This incoming flood of unlocked tokens might change their supply/demand dynamics and will inevitably affect prices.

A new month is upon us once again—and with it, fresh new opportunities and strategies abound.

This time around, there are now reports of a massive wave of token unlocks in June 2024.

The next 30 days or thereabout will see more than $800 million worth of tokens released into the market across several cryptocurrencies, each with their own sets of risks and opportunities.

In this section, we will be considering four of these cryptocurrencies, the amounts of tokens to be unlocked, how they reacted to previous token unlocks, and how they might react this time around.

1. Arbitrum (ARB)

According to Token Unlocks, Arbitrum is set to unlock 92.65 million $ARB tokens (worth around $105.6 million) on 16 June.

This allocation is set to be distributed to the Arbitrum team and advisers, and there might be a few interesting things about its price to know about before the day.

  • Unlock Date: June 16

  • Tokens Unlocked: 92.65 million ARB

  • Value: $105.6 million

  • Allocation: Team and advisers

The last Arbitrum token release happened on 21 May 2024, when the Arbitrum Foundation released 497,000 ARB tokens worth $556,000 or thereabouts.

<div class="paragraphs"><p>Arbitrum’s price action</p><p><br></p></div>

Arbitrum’s price action

A day or two before the May token unlock, Arbitrum rallied by around 10%.

This time around, we are seeing the cryptocurrency trade on top of the $1.164 price level.

Arbitrum has a chance to rebound from this support, as long as a daily candle close doesn't occur below.

2. Aptos (APT)

The next on the list is Aptos, slated slightly earlier than Arbitrum at around 12 June. Arbitrum is set to release a staggering 11.1 million APT tokens, worth $102.6 million.

  • Unlock Date: June 12

  • Tokens Unlocked: 11.1 million APT

  • Value: $102.6 million

  • Allocation: Foundation ($12.1 million), Community ($29.1 million), Core contributors ($35.9 million) and Investors ($25.5 million)

The last Aptos token unlock happened on 12 May and released $11.31 million $APT, worth $94.87.

This token release resulted in a small dip to the $7.76 support, before a recovery.

<div class="paragraphs"><p>Aptos’ price action</p></div>

Aptos’ price action

Aptos has a chance to continue this recovery to the upside, as long as this new token unlock doesn't push it into a close below the semi-strong $8.86 support.

3. Starknet (STRK)

Starknet is set to release its tokens right in between Aptos and Arbitrum on 15 June, with 64 million STRK worth a staggering $78 million.

  • Unlock Date: June 15

  • Tokens Unlocked: 64 million STRK

  • Value: $78 million

  • Allocation: Early contributors ($78 million)

The last Starknet token unlock happened on 15 May, releasing 64 million STRK, worth $73.6 million at the time.

<div class="paragraphs"><p>Starknet’s price action</p></div>

Starknet’s price action

The last Starknet unlock had little to no effect on the price of the cryptocurrency, possibly owing to Starknet being a relative newcomer to the crypto market.

Moreover, the tokenomics on Starknet show that only about 8.4% of its supply has been released so far.

Starknet should be relatively safe for entry at any point, as long as a break and close below $1 does not happen.

4. Optimism (OP)

Optimism plans its own token release on 29 June. This token unlock will release around 31.34 million OP tokens, worth around $78 million.

  • Unlock Date: June (29 June)

  • Tokens Unlocked: 31.34 million OP

  • Value: Approximately $78 million

The last Optimism token unlock happened on 31 May 2024 and hasn't had much of an effect on the price of the cryptocurrency so far.

However, Optimism appears ripe for entry, considering its standing above the ascending trendline shown below.

<div class="paragraphs"><p>Optimism’s token unlock</p></div>

Optimism’s token unlock

As long as the bears are unable to trigger a break below $2.45, the cryptocurrency is set to rebound and retest the resistance block around $3, before continuing further upwards.

Other notable unlocks include Galxe with $7 million, Ethena with $48 million and Immutable X with $57.19 million.

Overall, as these projects unlock their tokens, investors can expect a change in their supply/demand dynamics, which will inevitably affect prices in one way or another.

Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.

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