A crypto research platform predicts that several cryptocurrency tokens will be unlocked by January this year with an estimated value of $7.2 billion.
The think tank says the unlocking of the multi-billion dollar token is a sizable sum, noting that it could have an impact on cryptocurrency market.
Unlocks crypto tokens
CryptoRank announced in a post that an estimated $7.2 billion worth of crypto tokens could be unlocked in January, something the digital asset sector should keep an eye on for the opportunities and risks it could bring.
In an X post, the data research and analytics platform listed the top 10 crypto token projects with the highest value to be unlocked this month, adding that the list includes Aptos, Circular Protocol and Arbitrum.
Some analysts said that the crypto market would definitely “feel the heat” as the value of the virtual tokens to be unlocked is a staggering amount, adding that January could be a wild month for the cryptocurrency sector with this development.
Crypto tokens such as Aptos and Arbitrum, as well as other major players in the digital asset market, are considered serious about leaving a mark on the cryptocurrency landscape, saying its implications could bring new opportunities or a bearish state.
$7.2 billion in tokens to be unlocked in January 🔓-
The following notable token unlocks will happen in January:$APT USD 111.41 million$CIRX USD 108.35 million$ARB $86.42 million$OP USD 67.29 millionRON USD 66.89 million$MOVE USD 53.35 million$UXLINK USD 36.73 million$IMX USD 35.59 million$UN USD 35.04 million$STRK $32.66 million pic.twitter.com/POLP3wI3bq
— CryptoRank.io (@CryptoRank_io) January 6, 2025
Best crypto tokens
According to CryptoRank, data shows that Aptos is seen as a top contributor to token unlocking with an approximate value of $111 million. The crypto token is expected to be released on January 12.
At press time, Apartments trading at $10.42 per token with a market capitalization of $5.8 billion.
The data analytics platform said Circular Protocol will take second place, releasing $108 million worth of crypto tokens, saying around 28 billion CIRX tokens will enter the market on January 12.
In third place, according to CryptoRank, is Arbitrum, which is expected to release digital coins worth $86 million.
Impact on the market
Financial platform OneSafe said so unlocking tokens happens when locked tokens are “released to the market”.
“These tokens are typically held by project teams, early investors, or earmarked for things like development funding and marketing. When these tokens hit the market, it can shake things up by increasing the circulating supply,” the financial platform explained.
Source: Keyrock
Crypto company Keyrock warned of the possibility that unlocking crypto tokens could trigger negative market responses, stating this conclusion after the company conducted a study of 16,000 unlocked tokens.
The company’s study revealed that the negative results have been influenced by the beneficiaries, scale, expectation, timing and other factors, which still happened despite taking predetermined actions before the token unlock.
According to the research, large token unlocks typically resulted in around 2.4 times price declines, increasing volatility.
Featured image from Certo Softwarecharts from TradingView
