This week, the cryptocurrency market is set to experience a significant liquidity event as $142.98 million worth of tokens are unlocked, with $SUI leading the charge at $80.38 million. Despite only 0.54% of its supply being unlocked, $SUI's event is notable due to its $14.9 billion fully diluted valuation, which could absorb the liquidity if demand remains strong. However, the market may face price pressure as traders anticipate the supply increase.
Mid-cap tokens such as EigenCloud ($EIGEN) and KITE AI ($KITE) are also unlocking substantial portions of their supply, with $EIGEN releasing 6.75% and $KITE 5.56% of their market caps. These higher-than-average unlock percentages could lead to increased volatility, as the market may struggle to absorb the additional supply. Treehouse ($TREE) faces an even more extreme situation, with 58.1% of its market cap being unlocked, making it particularly vulnerable to sharp price declines.
As the market undergoes this liquidity test, investors will be closely monitoring these tokens for signs of stability. While $SUI may manage the influx without major disruptions, smaller and mid-cap tokens like $EIGEN and $TREE could experience significant price fluctuations.
$SUI Leads $142.98M Token Unlocks, Raising Market Volatility Concerns
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