Crypto Market Faces Over $735M Unlock Pressure in October

The cryptocurrency market is set to see another wave of significant token unlocks. According to data from TokenUnlocks, over $735 million worth of crypto assets, including Ethena (ENA), Sui ( SUI), Immutable (IMX), Solana (SOL), Worldcoin (WLD), Avalanche ( AVAX), would be unlocked in October. 

Token unlock involves the release of a certain amount of assets previously locked or restricted from circulation in the market. Often, these unlock mechanisms lead to increased trading volume and price volatility for the asset as their circulating supplies get inflated.

Over $735M in October  Token Unlock

A list created by independent crypto reporter Colin Wu shows the tokens will undergo cliff and linear unlocks in the first week of October. 

Cliff unlocks occur as a single, large release, while linear unlocks happen gradually over time.

Among the tokens that will undergo cliff unlock, Ethena will unlock the largest amount. Roughly 428 million ENA worth approximately $171 million representing 22.53% of the token’s circulating supply, will be unlocked next month.

Following ENA is Sui which will release 68.79 million of it’s token worth $120 million, representing 2.57 of it’s circulation supply. Other tokens that will undergo cliff unlock includes Immutable (IMX), ZetaChain (ZETA), Neon (NEON), Cardano (ADA), dYdX (DYDX), Maverick Protocol (MAV) and Mode (MODE).

Immutable, ZetaChain, Neon and Cardano upcoming token unlocks are valued at $55.86 million, $37.55 million, $19.37 million and $14.34 million respectively.

Meanwhile, Solana, Worldcoin, Bittensor, Avalanche, and six other projects will begin linear unlocks for their community during this period.

Solana will release 524,000 tokens valued at approximately $82 million, while Worldcoin and Bittensor will release 37 million and 72,000 tokens, valued at $73 million and $41 million, respectively.

Market Outlook 

In the crypto community, October is often called “Uptober” due to the historical tendency for the market to experience upward price movements during that time. 

However, market sentiment can often move in unexpected directions. Investors should stay informed and avoid making impulsive decisions based on fear of missing out.