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Aptos' APT Token Steady After $32M Token Unlock

Aptos' APT Token Steady After $32M Token Unlock

CoindeskCoindesk2023/07/12 11:57
By:Omkar Godbole

The dollar value of the unlock amounted to 38% of the cryptocurrency's average 30-day trading volume and had potential to push prices lower, per one analyst.

More than 4.5 million ATP tokens were unclocked early Wednesday (TokenUnlocks)

Prices of Aptos' native token APT were steady on Wednesday at around $7 despite a significant number of tokens being unlocked.

Early Wednesday, 4.54 million APT tokens, worth nearly $32 million, were unlocked, according to data. Tokens worth $22.5 million were distributed to the community members, with Aptos foundations receiving $9.4 million in tokens.

Cryptocurrencies are generally locked up to prevent the big bag holders – usually early investors or even the project's team members – from selling their coins all at once and causing price dumps. Token unlocks are considered bearish, as they free up liquidity and open doors for potential profit-taking by those who receive coins as a part of the unlock.

Although, the latest APT unlock amounted to just 2.2% of the token's total supply of 210.41 million, the dollar value of the unlock was nearly 38% of APT's average 30-day trading volume and had the potential to push prices lower, market analyst Ton Dunleavy.

Still, APT is trading flat, at around $7, extending its recent trading range of $6.8 to $7.3. Perhaps, Aptos' to enhance the blockchain's capabilities to handle tokenized securities like tokenized real estate and in-game currencies has helped the cryptocurrency stay resilient.

Besides, APT's continued sideways trend is consistent with the market leader, bitcoin's (BTC) , ahead of the crucial U.S. inflation report.

Traders a volatility explosion in bitcoin, which could feed into APT and other altcoins.

Edited by Parikshit Mishra.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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