August Crypto Unlocks Can Cause a $212 Million Tidal Wave: Report

As the heart of summer beats on, the crypto world finds itself poised for an impactful August, with five significant projects set to unlock tokens valued at over $212 million. The high-profile cryptocurrencies on the roster include Sandbox (SAND), DAO Maker (DAO), STEPN (GMT), BitMex (BMEX), and Aptos (APT). These scheduled unlocks are expected to reshape the digital investment landscape, impacting the token prices and market dynamics.

Despite the inevitable supply surge that typically exerts downward price pressure, the extent of these effects varies. Factors such as the number of tokens unlocked, recipient details, and the underpinning project fundamentals, coupled with overarching market conditions, play defining roles.

At the forefront is SAND, unlocking on August 14th, releasing a whopping $133.14M in tokens. This equates to 16.16% of the current supply, predominantly reserved for the team, advisors, and key investors. The potential offloading by these entities might cause some price depreciation. However, according to CoinMarketCap, SAND is trading near its 2023 low, indicating a potential pre-emptive market reaction.

In the same vein, DAO Maker is buoying on a slight price uptick, the effect of which may extend to the upcoming unlock event. According to people familiar with the matter, however, the implications of the GMT tokens unlock from the web3 lifestyle platform Stepn may follow a different trajectory, given their linear unlock strategy and declining prices. At press time, GMT was trading at $0.2108, a 1.50% surge in the past 24 hours.

Simultaneously, Aptos is gearing up to replicate its July 12th unlock with another 4.54 million APT token release valued at $31.62 million. The APT/USD crypto pair is changing hands at $6.69, a 1.50% drop during the day. Injective, trading at $7.92, meanwhile, follows a similar monthly unlock pattern with 2.86 million INJ tokens valued at $23 million set for an August 21 release.

In essence, August’s crypto token unlocks could signify a pivotal moment for these digital currencies and the wider market. Investors should stay tuned and carefully analyze the evolving dynamics to ensure sound decision-making.