IntoTheBlock, a crypto analytics firm, has issued a warning about potential negative impacts on the performance of certain altcoins due to large token unlocks in the future.
According to IntoTheBlock, approximately $25 million worth of Bitcoin (BTC) is unlocked or mined daily, a quantity easily absorbed by the cryptocurrency’s large and liquid market.
However, projects such as Worldcoin (WLD), Stargate Finance (STG), and Mantle (MNT) have daily token unlocks that represent significant percentages of their market cap, potentially leading to price performance issues, as noted by the firm.
The firm also highlights upcoming token unlocks, including a substantial unlock for Wormhole (W), a cross-chain interoperability protocol, equivalent to 33% of its total market cap.
On a positive note, IntoTheBlock reports that the net flows of Chainlink (LINK) to crypto exchanges have been negative for the past two weeks, which is typically seen as a bullish sign, indicating less available supply and reduced sell pressure.
As of the current writing, LINK is trading at $13.77, showing an increase of over 5% for the day.
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook, and Telegram
Surf The Daily Hodl Mix
Generated Image: Midjourney
