ImmutableX Faces Selling Pressure Ahead of 110 Million IMX Unlock
NFT platform ImmutableX is set to unlock approximately 110 million IMX tokens for early investors from a private sale conducted at the end of 2021. Similar to the unlock event of Axie Infinity, many anticipate significant selling pressure on IMX.
ImmutableX Faces Selling Pressure Ahead of 110 Million IMX Unlock
The 110 million IMX represents over 5% of the total supply, valued at around $66 million. According to ImmutableX representatives, the unlock event is scheduled to occur at 8 PM UTC+7 on November 5th.
Currently, IMX is trading around $0.60, compared to the private sale price of $0.10 in November 2021. This means early investors could potentially realize a 500% gain if they choose to sell.
Despite concerns about potential sell-offs, ImmutableX co-founder Robbie Ferguson remains confident about the upcoming unlock, stating in an email:
“We are not concerned about the upcoming unlock, even if a sell-off occurs. 30 IMX holders represent 85% of the tokens and have committed to holding long-term – many of whom are long-term shareholders of Immutable. For the remaining individual holders, if they sell, new investors like Coinbase and Kenetic Capital are always ready to buy in.”
According to TokenUnlock, the total amount for this unlock event is 255 million IMX (over 12% of the total supply), with over half, or about 135 million IMX, committed to being locked for at least another year.
Token Unlock Overview:
- 285 million IMX, or 14% of the total supply, was sold in the private sale.
- 110 million IMX will unlock on November 5th.
TokenUnlock Data:
Recently, as reported by Coin68, the play-to-earn game Axie Infinity (AXS) saw a sharp decline when 215 million USD in tokens were about to unlock, with a 24% drop observed about a week before the unlock date. Although AXS experienced some profit-taking by certain investment funds, a brief "sweep" liquidated $1.6 million in short positions, preventing AXS price from fluctuating as much as many had anticipated.
Data shows traders are betting on a potential drop in IMX price as the unlock date approaches. IMX is currently at $0.60, up 4% over the past 24 hours, but down 93% from its ATH in November 2021.
Funding Rates Indicate Negative Sentiment for IMX on Major Exchanges. Source: Coinglass
