💣 Tomorrow millions of tokens could be unlocked. What does it really mean?
When you hear:
“Millions of dollars in tokens will be unlocked”
the first thing many people think is:
📉 “The price is going to drop.”
But that doesn’t necessarily happen.
A token unlock means that tokens that were locked under certain conditions become available for circulation.
This week there are major unlocks scheduled, including projects like Humanity (H) and Plasma (XPL).
Can it create selling pressure?
Yes.
Does it automatically mean a drop?
❌ No.
It all depends on who receives those tokens, how much they represent relative to the circulating supply, whether the recipients sell, and what the market demand looks like.
That’s why an unlock shouldn’t be analyzed just by looking at the number of tokens.
You have to look at the percentage of the supply and who receives them. 🧠
🔥 This week could be a great example of why tokenomics matter.
Do you check the upcoming unlocks before entering a cryptocurrency?
#crypto #Tokenomics #Altcoins #DeFi #trading