NOIDA (CoinChapter.com) — Several cryptocurrency projects are scheduled to unlock their tokens in March 2024. Data aggregator TokenUnlocks highlighted that the value of unlocked tokens totaled more than $5.2 billion in March, making it the month with the highest total value of unlocked tokens in 2024.
Cryptocurrency projects typically lock up a portion of their token supply to prevent early adopters and investors from offloading large amounts of tokens after the project launches. However, developers gradually unlock these tokens over a period of time.
Despite the slow payouts, market participants are often concerned about unlocking tokens as traders can sell them to record profits. Often the token unlock event precedes the token’s bearish period.
Arbitrum leads token unlock event
In March 2024, the cryptocurrency market is set to experience a significant wave of token unlocks that could potentially dictate market dynamics and investor strategies. Arbitrum (ARB) is leading the way with token unlocks, with a whopping 1.11 billion ARB tokens scheduled to be released, worth approximately $2.11 billion.
Of the total tokens unlocked, 673.5 million ARB tokens are for teams and advisors. Despite the massive supply surge, analyst We are not worried about ARB price action as it is unlikely that the team will dump the tokens on the market immediately.
Additionally, a bullish signal from the token could help ARB price avoid a major downturn. However, the market may react to large unlocks that could put pressure on the Arbitrum token.
The unlock represents a pivotal moment for Arbitrum as it could significantly increase circulating supply and attract the attention of investors and traders alike.
Aptos token unlocking gets bigger for the second time.
In line with this, Aptos (APT) is preparing a large-scale unlock event ahead of the launch of APT tokens worth $289 million.
The community is closely watching this event considering Aptos’ growing reputation in the blockchain space.
By 2024, the Aptos team had brought digital assets worth over $450 million to the market. However, APT prices have risen slightly by 25% since the beginning of the year. Aptos also aims to expand its presence in Africa.
Last month, the company partnered with Jambo to connect Africans with global blockchain networks and focus on empowering individuals in developing countries through Web3 technology. The partnership includes the launch of the JamboPhone, an affordable $99 smartphone to facilitate these connections.
dYdX and immutable
Following Arbitruma and Aptos, dYdX and Immutable X are also preparing for significant unlocks.
These unlocks can inject new dynamics into the market, affecting liquidity and price action. dYdX plans to unlock approximately 575,000 DYDX tokens worth $1.9 million, while Immutable .
The dYdX token unlock event will take place on March 19th, and IMX tokens will be released to the market on March 22nd.
SUI continues token launch plan
Layer 1 blockchain network Sui plans to release an additional 34.62 million SUI tokens worth approximately $58.15 million by March 3.
Since the unlock accounts for 2.97% of SUI’s circulating supply, this move could have a significant impact on Sui’s market position and investor interest.
Considering the recent price rise of SUI and the bullish signals presented by the project, it is likely that the bulls will absorb the market impact from token unlocking.
Aside from these major unlocks, several other projects have significant releases of their own scheduled. These include ZETA, AI, DYM, ENS, GMT, LMWR, ACE, MANTA, IMX, ALT and AXL, with unlocks ranging from $12 million to $52 million.
Each of these events carries expectations and potential market impacts, with investors, traders, and market analysts closely watching these unlocks and assessing their potential impact on token prices, market liquidity, and overall market dynamics.