While Bitcoin still dominates attention, climbing towards the $100,000 achievement, the viewpoint for many altcoins seems significantly more unclear.
Even though Ethereum has stayed positive this week, many smaller tokens have had a tough time. This pressure might increase soon with more token unlocks coming up.
In the upcoming days, a chain of unlock events will announce hundreds of millions of dollars worth of tokens into the market. These events are common, but they often cause temporary selling pressure because early investors or teams get tokens that were locked and might decide to sell them.
One of the most sustained unlocks comes from Cheelee (CHEEL), which is scheduled to release almost $54 million worth of tokens on May 10, reflecting around 15% of its overall market value. In the same way, Heroes of Mavia (MAVIA) is getting ready to release 20% of its tokens, which could cause changes in its small market.
Smaller projects are also about to release a large part of their tokens. For example, Nereus (NRS) will unlock nearly half of its market value on May 11, which could cause big price swings. At the same time, Neon (NEON) and Aixbt (AIXBT) are planning to release 20% and 8.5% of their tokens, which is important given their small overall value.
More developed projects such as Alchemy Pay (ACH) and ChainGPT (CGPT) are also set for token unlocking, though their overall effect might be smaller because of the lower percentage of supply being available.
These token unlocks are happening at a sensitive time for the altcoin market. Bitcoin is becoming more dominant, attracting more money as traders see it as a safer option during uncertain economic conditions. While AI-related coins and tokens tied to specific ecosystems are getting brief attention, most altcoins are still scattered and at risk of sudden price drops, especially when more tokens suddenly enter the market.
As usual, investors will be observing how the market faces these unlocks. Will the extra supply be taken in smoothly, or will it cause more selling in an already unstable market? With Bitcoin leading the way, altcoin owners might have to prepare for more ups and downs.
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Disclaimer: We at Bitcoinik.com present you with the latest information in the crypto market. However, this information should not be regarded as financial advice, and viewers should consult their financial advisors before investing.
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