AEVO, APT, ARB among $1.33 billion worth of token unlocks lined up for next week

• Token unlocks worth nearly $1.33 billion are lined up for next week.
• Aevo, Aptos, and Arbitrum will hold some of the most voluminous unlocks.
• Token holders should brace for volatility as unlocks are typically bearish catalysts.

The timing and scale of token unlocks can significantly impact market dynamics. If a large number of tokens are unlocked at once, it may overwhelm buying interest and lead to a temporary decrease in token price. Conversely, gradual or scheduled unlocks may allow the market to absorb the new supply more smoothly.

Also Read: Bitcoin Weekly Forecast: Why BTC is close to a bottom

Token in the lineup for next week cliff unlocks

Token unlocks can introduce volatility into the market as traders react to the new supply of tokens. Price fluctuations may occur as investors adjust their positions based on the unlock schedule and the perceived impact on the token's value. Traders should be prepared for potential price swings during token unlock events.

Starting the train, Aptos network will unlock 11.31 million APT tokens worth $99.75 million on Sunday May 12. This will comprise 2.64% of the token’s circulating supply.

On May 14, the dYdX ecosystem will unlock 2.12 million DYDX tokens worth $4.58 million and comprising 0.79% of the circulating supply.

On May 15, several ecosystems have their cliff unlocks on the line up. These include:

• The Starknet network, with $80.64 million worth of unlocks, where 64 million STRK tokens will be unleashed. These many tokens make up for 8.79% of the circulating supply.
• The Cyber network with 886.12 CYBER tokens worth $7.34 million and making up for 4.13% of its circulating supply.
• The Aevo ecosystem with the largest cliff unlock, pouring 827.60 million AEVO tokens, which constitute 752.36% of its circulating supply. These tokens are worth $1.04 billion at current rates.

On May 16, Ethereum Layer-2 (L2) network Arbitrum will unlock 92.65 ARB tokens worth $96.44 million in a cliff unlock. These tokens will comprise 3.49% of its circulating supply.

Friday, May 17, also has multiple cliff unlock events in the chain. The most significant will be:

• 15.60 million APE tokens (2.48% of the circulating supply) worth $19.97 million at current rates to be unlocked by the ApeCoin network.
• Gaming ecosystem ImmutableX to unlock 25.53 million IMX tokens worth $55.15 million and constituting 1.75% of the circulating supply.
• AI ecosystem Render network to unleash 760.57K RNDR tokens worth $8.24 million and comprising 0.20% of the circulating supply.

On Saturday, the Manta Network will unlock 6.67 million MANTA tokens worth $11.47 million and comprising 2.66% of its circulating supply. This will be accompanied by another unlock from the Oasis Network, where 171 million ROSE tokens will be unleashed and making up for 2.54%. These tokens are worth $15.49 million at current rates.

Token unlocks typically involve making additional tokens available for trading or circulation. This increased token supply can potentially lead to a dilution of value if the demand does not keep up with the new supply.

A sudden influx of tokens into the market can put selling pressure on the price, leading to a potential drop in value. Token holders for the above cryptocurrencies may want to brace for volatility ahead of the events.