- AVAX might drop below $33 and might slide sub $1.90.
- Traders can look to buy the APT dip but SEI and SUI have become stuck.
This month, many projects will release new sets of tokens into circulation, according to data from Token Unlocks. Some of these projects include Avalanche [AVAX], Aptos [APT], Immutable [IMX], Sui [SUI], and Sei Network [SEI].
For context, the token unlocks refers to the process of releasing previously locked tokens into circulation. This is done to balance the supply and demand dynamics. When this happens, the prices of tokens involved are sometimes affected.
AMBCrypto checked the Token Unlocks website and found that the values of these unlocks differed from project to project.
According to the platform, Avalance would release $318.22 million worth of AVAX tokens. Furthermore, Aptos’ token unlock will take place on the 12th of February. At press time price, the unlock was worth $230 million.
For IMX, it would unlock $70 million worth of tokens. SUI’s unlock is scheduled for the 3rd of this month while SEI’s own would happen on the 15th.
AVAX and IMX eye new lows
AVAX’s price at press time was $33.35, indicating that the token had lost 22.82% of its value in the last 30 days. When AMBCrypto assessed on-chain metrics, we discovered that the plunge had not deterred participants from believing in the project.
As of this writing, the Weighted Sentiment around AVAX had jumped into positive territory. This means that there was rising optimism around the cryptocurrency.
Should this continue to be the case, buy orders around $33 could be profitable for investors who might consider holding the token for a few weeks or months.
Source: Santiment
For IMX, its 169.5% increase in the last 365 days has changed tune. At press time, the price was $1.95, representing an 18.28% 30-day decrease.
According to Santiment, IMX’s exchange inflow was 8444. The exchange inflow is the number of tokens sent from non-exchange wallets into exchange ones.
When it outpaces the exchange outflow, it means that selling pressure outweighs the buy side. A look at the exchange outflow showed that it was 4554. With this disparity, IMX might have a different price performance when compared to AVAX.
Furthermore, the Relative Strength Index (RSI) on the 4-hour chart was down to 42.67. Should this reading remain below the midpoint, the IMX might drop below $1.90 in the short term.
Source: Santiment
APT targets the moon
Previous Aptos unlocks have had little to no effect on the price action. However, with its GameFi fundamentals, the token looks like one with enormous long-term potential.
At press time, the price of APT was $9.16. Unlike AVAX and IMX, this value was a 3.21% increase in the last 24 hours. This move suggests that APT does not always follow the broader altcoin trend as it sometimes decouples from the market.
In terms of the volume, on-chain data showed that it has been somewhat stagnant. But when the token unlock nears, the volume might increase as market participants might want to “sell the news.” In this projected situation, APT’s price might fall below $9. However, the fall could be a “buy the dip” opportunity for those looking to HODL the token.
Meanwhile, Aptos’ development has been impressive of late. This hike implies that the project’s development team was shipping out new use cases on the network.
Concerning the price action, the rise in development activity could be bullish. So, APT’s price after the token unlock has the potential to run upwards.
Source: Santiment
SUI and SEI: Birds of the same feather?
SUI’s token unlock could be worth $100 million if the price stays around the same value as of this writing. It is noteworthy that this is the project’s first unlock year.
Historically, seasons like this could foreshadow higher returns. So, traders might want to keep an eye on the token.
Recently, SUI’s price reached an All-Time High (ATH) of $1.65. However, the token’s value had dropped to $1.46 at press time. This decline could be connected to profit-taking and the recent market drawdown.
When it comes to volatility, on-chain data showed that it was extreme with SUI. This implies that the price of the asset might jump much higher if buying pressure increases.
Also, if selling pressure continues, the value might dump harder than it has.
Source: Santiment
Like APT and AVAX, SEI’s previous unlocks did not have much effect on the token. But unlike its performance last year, SEI has been unusually quiet.
As of this writing, SEI’s price has decreased by 11/.58% on a Year-To-Date (YTD) basis.
This decline has also affected its market cap growth. At press time, Sei Network’s market cap was $1.52 billion. This value inferred that while the price decreased, the tokens engaged in transactions followed suit.
Furthermore, AMBCrypto found out that the social volume had also been affected.
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By employing data from Santiment, SEI’s social volume was down to 27. This decrease implied that the number of traders watching the token and talking about it has reduced.
Source: Santiment
When this happens, it signals that the value could decline further. However, if the price continues to fall, it could be a good period to capitalize on the discount prices.
