The cryptocurrency market is gearing up for another significant token unlock event next week. Four projects – Altlayer (ALT), Worldcoin (WLD), Ethena (ENA), and Space ID (ID) – are scheduled to collectively unlock over $200 million worth of their respective tokens, potentially impacting their circulating supply and price.
This upcoming unlock comes on the heels of similar events earlier this week. Projects like FORT, GALA, and ENA already saw injections of new tokens into their ecosystems, totaling nearly $4.7 million. These unlocks often lead to increased volatility in the market, with some investors fearing a potential price drop due to the sudden increase in available tokens.
ALT Takes the Lead in Unlocks
Among the four projects unlocking next week, Altlayer (ALT) holds the largest share. A staggering $115 million worth of ALT tokens will enter circulation, significantly impacting its overall supply. Worldcoin (WLD) follows closely behind with $80 million in unlocks, while Space ID (ID) is slated for a more modest $8.89 million unlock. Ethena (ENA), which already had an unlock event earlier this week, will see additional token distribution next week.
Worldcoin Extends Unlock Schedule, Faces Criticism
Interestingly, Worldcoin has been under scrutiny recently for extending its token unlock schedule. This decision has drawn criticism from some investors who believe it could negatively affect the token’s long-term value.
Price Movements Defy Expectations
Despite the potential downward pressure from increased supply, the prices of all four tokens slated for unlocks have actually increased over the past 24 hours. ALT leads the pack with a jump of over 12%, suggesting that some investors may be anticipating increased demand or utility for the token despite the unlock event.
Market Uncertainty Ahead
The upcoming unlocks next week are likely to create a period of uncertainty in the market. While some investors may view the increased supply as a bearish signal, others might see it as an opportunity to acquire tokens at a potentially lower price. It remains to be seen how the market will react and whether the price movements observed in the past 24 hours will continue. Investors are advised to conduct thorough research and consider their risk tolerance before making any investment decisions related to these projects.
