Why Crypto Token Unlocks Can Shake the Market
Token unlocks can have a major impact on crypto prices, especially when a large number of previously restricted tokens suddenly become available to investors, employees or project insiders. Even if the project itself is doing well, traders may anticipate additional selling pressure before an unlock happens. On the other hand, some unlocks have little impact if the newly released tokens aren’t immediately sold. This makes vesting schedules an important part of understanding a token’s supply and price dynamics. Should investors treat upcoming unlocks as a warning sign, or are they simply a normal part of a project’s growth?
