Aptos (APT) Faces Token Unlock Event: What to Expect?
As scheduled, approximately 0.5% of the total Aptos (APT) token supply is set to be unlocked today, April 12. Will APT experience selling pressure?
According to Coin68, 4.5 million APT tokens from Aptos Labs will be unlocked at 12:30 PM today (Vietnam time). This event will increase the APT supply by 0.5%.
The tokens to be unlocked are valued at over $50 million. Meanwhile, about 84% of the APT supply remains locked.
Token Unlocking is the process where tokens from any blockchain are released into circulation. Typically, these unlock schedules are predetermined by the projects.
Adding more tokens to the market allows investors, developers, or holders to sell their assets, potentially creating selling pressure. However, due to underlying demand, new investors or traders might seize the opportunity to buy more tokens, which could help mitigate the potential sell-off. Therefore, it’s still too early to determine if APT will face a significant sell-off.
In recent days, APT has shown impressive upward momentum. Since last weekend, the token, with a market cap of $2.3 billion, has surged over 14%, paralleling Bitcoin's strong price action. However, APT is now showing signs of a pullback, with three consecutive hourly red candles. Bitcoin has also unexpectedly dipped below $30,000, a level it had just re-established yesterday.
1H Chart of APT/USDT on Binance at 10:25 AM on April 12, 2023
Aptos is a new blockchain that launched its mainnet in October last year and made headlines with its high-value airdrop. The platform was founded by Shaikh and Avery Ching, both of whom previously worked on Meta's (formerly Facebook) Diem project.
The blockchain uses Move, a programming language based on Rust from Solana, developed by Meta for Diem. Aptos successfully raised $350 million through various funding rounds last year.
