Major Crypto Projects to Unlock $755 Million in July 2024
In July 2024, the cryptocurrency market is poised for significant changes as over $755 million worth of tokens from more than 40 projects will be unlocked. Token vesting periods, which prevent early investors and team members from selling their tokens immediately, are ending, leading to these substantial releases.
Key Projects and Impacts
AltLayer (ALT): The decentralized protocol AltLayer will unlock the largest portion of tokens this month. On July 25, it will release 684 million ALT tokens worth approximately $125 million. These tokens are distributed across its team, investors, advisers, protocol development, treasury ecosystem, and community. Currently, ALT’s price is around $0.18.
Xai (XAI): Following AltLayer, Xai will release about $93 million in tokens on July 9. These assets are allocated to its team, investors, and ecosystem, with an additional $2 million reserved. XAI is currently valued at $0.46.
Aptos (APT): Aptos, which has been unlocking significant token amounts in previous months, will release another 11.31 million APT tokens worth $77 million in July. These tokens are meant for its foundation, community, core contributors, and investors.
Other notable projects like Arbitrum (ARB), Optimism (OP), Sui (SUI), Immutable (IMX), and Starknet (STRK) will also unlock substantial token amounts this month, continuing the trend of significant token releases.
Market Reactions and Predictions
The unlocking of such a large volume of tokens often leads to increased market volatility. Early investors might sell their newly unlocked tokens, potentially driving prices down. However, this influx also provides opportunities for new investors to enter the market at lower prices.
AltLayer: Despite the significant token release, the impact on ALT’s price will depend on the market’s absorption capacity and investor sentiment. If the market can absorb the supply without drastic sell-offs, ALT might maintain or even increase its value.
Xai and Aptos: Similar dynamics apply to Xai and Aptos. Their prices could face downward pressure in the short term but may stabilize if the broader market remains bullish.
Conclusion
July 2024 is a crucial month for the cryptocurrency market, with major projects unlocking vast amounts of tokens. Investors should brace for potential volatility and consider the long-term prospects of these projects. The market’s reaction to these unlocks will provide insights into the overall health and resilience of the crypto ecosystem.
