Report: 90% of token unlocks negatively impact price, decline started a month ago
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2024-12-06 19:03 8,750
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December 6 news, according to CryptoSlate, a recent Keyrock report highlighted that 90% of token unlocks will have a negative impact on prices, although this impact often takes up to 30 days to fully manifest. Approximately $600 million of previously locked tokens are regularly circulated. These unlocked tokens flow to the team, investors, and ecosystem funds according to a predetermined schedule. The report notes that tracking these timelines is critical for traders who aim to time the market effectively. Even before the token is released, preemptive selling and hedging strategies by under-rewarded investors have put downward pressure on prices, which typically stabilize within two weeks of the unlocking event.