Tokens worth over $400 million are set to enter circulation this week amid the ongoing crypto market turmoil.
By Parth Dubey
Edited by Julia Sakovich
Updated
2 mins read
As February has begun with turmoil in the crypto market, investors are now bracing for another market-shifting event — a wave of major token unlocks between February 3 and February 10. According to data from Tokenomist, over $400 million worth of tokens are set to be injected into circulation as multiple blockchain projects conclude their vesting periods.
Among the most significant cliff unlocks are XDC XDC $0.0937 24h volatility: 1.4% Market cap: $1.47 B Vol. 24h: $27.04 M (841.18 million tokens valued at $65.13 million), MOVE MOVE $0.57 24h volatility: 4.6% Market cap: $1.36 B Vol. 24h: $109.38 M ($27.79 million), and KAS KAS $0.11 24h volatility: 9.7% Market cap: $2.73 B Vol. 24h: $110.69 M ($13.7 million). Meanwhile, NEON NEON $0.19 24h volatility: 0.7% Market cap: $46.44 M Vol. 24h: $4.12 M and BANANA BANANA $26.92 24h volatility: 2.9% Market cap: $93.46 M Vol. 24h: $19.80 M tokens are also scheduled for releases worth $13.03 million and $6.16 million, respectively.
On the linear unlock front, Solana SOL $197.7 24h volatility: 2.4% Market cap: $96.49 B Vol. 24h: $3.00 B tops the list, with 465,770 tokens valued at $88.14 million being released. Other notable token releases include Worldcoin WLD $1.24 24h volatility: 0.6% Market cap: $1.26 B Vol. 24h: $153.72 M at $59.19 million and Dogecoin DOGE $0.27 24h volatility: 3.6% Market cap: $39.57 B Vol. 24h: $1.43 B at $22.09 million, alongside smaller but major unlocks for TIA TIA $3.15 24h volatility: 1.1% Market cap: $1.65 B Vol. 24h: $75.05 M , Avalanche AVAX $25.98 24h volatility: 1.7% Market cap: $10.70 B Vol. 24h: $269.76 M , and ENS ENS $27.32 24h volatility: 1.9% Market cap: $906.16 M Vol. 24h: $70.12 M . The potential for increased supply is sparking concerns about heightened market volatility.
The timing of these token unlock events, coinciding with a macroeconomic downturn fueled by geopolitical uncertainties, makes the situation even more precarious. It is important to note that the crypto market is set to see another $1.06 billion of token unlocks during the next week.
While token unlock events often signal project development milestones, the sudden increase in supply typically results in downward price pressure as holders seek liquidity. This influx can disrupt already fragile market dynamics, as evidenced by Ether’s sharp 16% drop in just one hour to $2,368 earlier on February 3.
The broader market continues to bleed following Trump’s tariffs, with global crypto market capitalization shrinking by 8.8% to $3.09 trillion. Investor sentiment has taken a nosedive, as reflected by the Crypto Fear & Greed Index dropping to 44, the lowest since October 11.
Bitcoin BTC $97 030 24h volatility: 1.0% Market cap: $1.92 T Vol. 24h: $28.91 B demonstrated relative resilience during this market storm, falling 6.8% over the past 24 hours to $94,743. Data by TradingView indicates that the largest cryptocurrency’s dominance rose to 62%. This signals a flight to safety among risk-averse traders shifting from altcoins to Bitcoin, potentially delaying the highly anticipated altcoin rally.
February would be a crucial month for the crypto market, with all eyes on whether the upcoming token releases will mark the beginning of a recovery or deepen the ongoing market decline.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.
