Today I want to talk plainly about what everyone is most concerned about—can this token, $BABY , actually “dump” or not?
I went back through BABY’s Tokenomics and its token unlock schedule. I have to admit that when many people see terms like “ecosystem and R&D releases” and “team and early investors unlocking,” they immediately get scared and say “panic warning, it’s going to dump.” But after I carefully checked the data, I found that some of everyone’s fear may be a bit superficial.
In my view, an increase in tokens does not automatically mean an increase in sell pressure. The key is the game between “newly added supply” and the network’s ability to absorb buy orders. In the broader ecosystem, BABY is not only a governance token—it also serves as the security staking layer for the PoS network and the settlement medium for multi-chain security services (BSN). As more PoS chains and Layer2 solutions choose to “borrow” Babylon-grade, Bitcoin-level security, they must use BABY or BTC to pay service fees.
However, I also have to point out a hard issue in the current price action: the liquidity across the entire BTCFi sector in the secondary market is still very thin. Before ecosystem applications truly take off, BABY will continue to face extremely strong periodic sell pressure. If, after stakers receive their BABY rewards, their first reaction is to sell immediately and convert to BTC, then the market will fall into a long-term, slow downtrend cycle.
As for my own approach right now: I will never blindly “buy the dip” on the left side just because tokens unlock. I only watch two metrics—the growth in mainnet TVL and real protocol revenue. Only when genuine demand can absorb the added supply will $BABY escape the fate of being treated like a “mining coin.” #baby @BabylonLabs_io
I went back through BABY’s Tokenomics and its token unlock schedule. I have to admit that when many people see terms like “ecosystem and R&D releases” and “team and early investors unlocking,” they immediately get scared and say “panic warning, it’s going to dump.” But after I carefully checked the data, I found that some of everyone’s fear may be a bit superficial.
In my view, an increase in tokens does not automatically mean an increase in sell pressure. The key is the game between “newly added supply” and the network’s ability to absorb buy orders. In the broader ecosystem, BABY is not only a governance token—it also serves as the security staking layer for the PoS network and the settlement medium for multi-chain security services (BSN). As more PoS chains and Layer2 solutions choose to “borrow” Babylon-grade, Bitcoin-level security, they must use BABY or BTC to pay service fees.
However, I also have to point out a hard issue in the current price action: the liquidity across the entire BTCFi sector in the secondary market is still very thin. Before ecosystem applications truly take off, BABY will continue to face extremely strong periodic sell pressure. If, after stakers receive their BABY rewards, their first reaction is to sell immediately and convert to BTC, then the market will fall into a long-term, slow downtrend cycle.
As for my own approach right now: I will never blindly “buy the dip” on the left side just because tokens unlock. I only watch two metrics—the growth in mainnet TVL and real protocol revenue. Only when genuine demand can absorb the added supply will $BABY escape the fate of being treated like a “mining coin.” #baby @BabylonLabs_io