- $653 million worth of tokens set to unlock across projects like SUI and GRASS.
- SUI’s $119 million unlock is one of the largest this week, testing market stability.
- GRASS faces a significant 72% unlock, possibly creating volatility in the short term.
Over the next week, token unlocks across major cryptocurrency projects are set to release more than $653 million worth of assets. According to WuBlockchain and Tokenomist, these events will span from October 27 to November 3, bringing significant shifts in market liquidity.Â
Among the tokens unlocking, SUI, ENA, and GRASS will lead the pack, with SUI unlocking 44 million tokens, worth approximately $119 million. The question remains: Will the broader market be able to absorb such a large influx of supply?
Token Unlocks Could Test Market Strength
The release of tokens, especially in large quantities, often raises concerns about market pressure and potential price drops. This week, the SUI token unlock stands out as one of the largest, with its 44 million tokens accounting for 1.2% of its circulating supply.
GRASS also represents a high-risk scenario, with 72.4% of its total supply unlocking, valued at $80.7 million. The potential for price volatility in these projects is high, particularly if early investors decide to take profits, pushing prices lower.
However, other projects such as SOL and DOGE are set to unlock smaller amounts relative to their market caps. SOL will release approximately $100.8 million in tokens, while DOGE is unlocking around $19.8 million.
These larger-cap coins generally have better liquidity, which can absorb new supply without significant price fluctuations. Still, the overall impact depends on market conditions.
Market Context Could Influence Reactions
The broader crypto market has shown resilience this week, with Bitcoin rising by 5%, signaling renewed investor confidence. This uptick in the market could soften the typical negative effects of token unlocks.Â
While these events often trigger sell-offs in bearish conditions, the market’s current bullish momentum suggests that the unlocks may not lead to immediate downturns. Instead, they could simply shift supply to more active investors or create opportunities for those looking to buy on dips.
In the case of smaller-cap projects like GRASS and ZORA, volatility is expected. Their higher unlock percentages can lead to sharper price movements, attracting traders seeking quick gains. However, the larger market context seems to support the possibility of these tokens absorbing the unlocks without drastic price decreases.
Ultimately, the next week will serve as a key test for market sentiment, particularly for tokens like SUI and ENA. If the market can absorb the new supply without significant disruptions, it may signal stronger, more sustained growth heading into the final months of the year.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
